National Bank Of Kuwait Introduces Blockchain Based Product

By Rishma Banerjee

A product called “NBK Direct Remit” is being launched by the National Bank of Kuwait, which is a blockchain based product which uses the RippleNet to facilitate cross-border payments within the countries in the Middle East. The initial launch of the product is available for only Jordan, but the bank has extensive plans for extension into 15 more countries. The bank’s website elaborates this is an effort to preserve NBK’s dominance in the field of moving money, in the country. It reads:

Focused on digital transformation, NBK has previously launched successful and innovative products that serve different segments, including the NBK Tap & Pay, QuickPay, NBK SelfiePay, cardless cash withdrawal, Biometric Cards, in addition to the continuous enhancements to the NBK Mobile Banking App and other services that make our customer’s banking experience an enjoyable one.

Kuwait, last year, suffered from the worst per-capita income, in years, and thus this foray in blockchain technology comes at a very crucial time.  As per TradingEconomics, a site that tracks such data, 2017 marked the lowest income for Kuwaitis in many years:

This cross-border payment system, which is being facilitated by NBK is an effort to integrate

However, enabling cross-border payments and integrating modern technologies is likely a good tactic to stimulate income-generating activities.

Ripple’s Senior Vice President of Customer Success, Marcus Treacher, said of the integration:

The National Bank of Kuwait (NBK) is an important partner in the region, and we’re excited that they have begun moving live payments across our blockchain network on behalf of their customers. We will continue to work with NBK to connect them to more RippleNet partners so their customers can make quicker, cheaper payments to anywhere in the world.

Kuwait, however, is not the only country who is getting into this new technology. Dubai for some now has also been tinkering with this, with a desire to be a leading destination for ICOs to do business. Saudi Arabia and the UAE are also reportedly working on a cross-border payment solution.