Assets unlocked, exit still blocked

01/05/2025

KUWAIT CITY, May 1: In line with Decree-Law Nos. 58 and 59/2025, amending Bankruptcy Law No. 71/2020 and Civil and Commercial Procedures Law No. 38/1980; the enforcement departments on Wednesday started to lift the seizure of all debtors’ assets held by banks, pending the adoption of a new mechanism for dealing with debt cases. Under the new amendments, Head of the Enforcement General Administration Counselor Abdullah Al-Othman sent a letter to the governor of the Central Bank a week ago, instructing banks to seize only half of the debtors’ salaries.

Sources stated that travel bans and vehicle seizures remain in place until the new procedures are finalized. Sources said the Enforcement General Administration attributed these procedures to the issuance of Decree-Law No. 59/2025, amending certain provisions of the Civil and Commercial Procedures Law.

Sources added the administration has started amending the computer system regarding the seizure of debtors’ assets held by third parties to impose a seizure on the salaries of debtors (those subject to execution) at a rate ranging from 25 percent to 50 percent of the salary, as determined by law, based on the nature of the debt and the place of work of the debtor.

By Jaber Al-Hamoud Al-Seyassah/Arab Times Staff

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Assets unlocked, exit still blocked

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