National Bank of Kuwait Joins Ripple Network for Remittance

Kuwait Ripple payments network remittance blockchain

The National Bank of Kuwait has become the latest organization to join the Ripple payments network, in order to facilitate fast, low-cost remittance across borders, according to reports emerging this week.

The financial giant has launched its new remittance service, known as NBK Direct Remit, to allow virtually instant payments via the blockchain, running on Ripple’s infrastructure to provide robust, rapid international settlement.

At first, payments will run between Kuwait and Jordan only, although the scheme is expected to be rolled out further in the coming months. The bank currently operates in multiple other jurisdictions, with offices in London, Geneva, New York, Singapore, Paris and China, as well as throughout the Middle East and North Africa.

Transactions will be capped initially at 2,000 Kuwaiti dinars, roughly $6,585, with fees of one dinar ($3.24) per transaction to its branch in Jordan, and five dinars ($16.47) for transactions sent between banks.

Welcoming the launch of the service, deputy CEO Dimities Kokosiolis said the move would enable customers to send transactions within seconds, for more efficient cross-border remittance.

“(The new platform) is a significant achievement, as it enables our customers to make money transfers within seconds, easily and at their convenience any time of the day.”

Marcus Treacher of Ripple hailed the development as another milestone for the company, as it continues to expand with new banking partners worldwide.

“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.”

In partnering with Ripple to deliver blockchain-powered remittances, the National Bank of Kuwait becomes the latest global financial institution to sign up to the platform.

In recent months, Ripple has welcomed several others, including CIMB of Malaysia, PNC from the U.S., UAE Exchange and Korean crypto exchange Coinone, among others.

Primarily servicing the $53-billion overseas remittance market, where migrants send money to family overseas, Ripple continues to drive wider mainstream adoption of blockchain systems throughout the global banking and finance sectors.