Database

Browse Database

KUWAIT

N/A

Pillar Intermediary liability  |  Sub-pillar Safe harbor for intermediaries for copyright infringement
Lack of intermediary liability framework in place for copyright infringements
A basic legal framework on intermediary liability for copyright infringement is absent in Kuwait's law and jurisprudence.
Coverage Horizontal

KUWAIT

Since October 2013

Pillar Domestic Data policies  |  Sub-pillar Minimum period for data retention
Anti-Money Laundering/Combating the Financing of Terrorism Law 106 of 2013
Banks and other financial institutions are required by the Anti-Money Laundering/Combating the Financing of Terrorism Law 106 of 2013 to retain a copy of transactions data for five years.
Coverage Banking and financial services

KUWAIT

Since April 2021

Pillar Domestic Data policies  |  Sub-pillar Requirement to perform an impact assessment (DPIA) or have a data protection officer (DPO)
Data Privacy Protection Regulation, No. 42 of 2021
According to the Data Privacy Protection Regulation, the communications and information technology service provider is obliged to appoint a data protection officer. Art. 7.4 states that the service provider should keep records of processing activities provided that such records include, among other information, the name and contact details of the data protection officer. On the other hand, the service provider must provide (to users) 24-hour communication with the data protection officer in relation to all issues related to the processing of their personal data and the exercise of their rights under these regulations (Art 7.12). In addition, the service provider must, within a period not exceeding 72 hours following its knowledge of a breach to personal data, provide a notification to the authority. The notification should include, among other information, the name and mechanism of communication with the data protection officer (Art. 8).
A communications and information technology service provider is defined as a natural or legal person who provides communications and information technology services in Kuwait and who provides, manages, establishes, creates a public communications network, operates a website, smart application or cloud computing services, collects or processes personal data or directs another party that collects and processes personal data on its behalf through information centers that they own or use directly or indirectly.
Coverage Communications and information technology service providers

KUWAIT

N/A

Pillar Domestic Data policies  |  Sub-pillar Framework for data protection
Lack of comprehensive data protection law
Kuwait does not have a comprehensive regime in place for all personal data, but it has sectoral regulations. The Communications and Information Technology Regulatory Authority released the Data Privacy Protection Regulation, No. 42 of 2021, which establishes rules around the collection and processing of personal data by communication and information technology service providers. Law No. 63 of 2015 regarding Anti-Information Technology Crime, protects data and information and specifies penalties of imprisonment and fines for violations. Law No. 37 of 2014 regarding the Establishment of the Regulatory Authority for Telecommunication and Information protects personal data, photos, and videos. Moreover, in the financial sector, the Cyber Security Framework for the Kuwaiti Banking Sector establishes several data protection-related obligations. Labour Law No. 6/2010 for the Private Sector similarly sets out requirements that overlap and impact data protection in relation to employment. In addition, Law No. 20 of 2014 (the E-Commerce Law) requires that client data relating to positional affairs, personal status, health status, certain financial information, and other personal information must be retained privately and confidentially by the recipient and its employees. Such data may not be disclosed without client consent or a court order.
Coverage Horizontal

KUWAIT

Since September 2021

Pillar Cross-border data policies  |  Sub-pillar Conditional flow regime
Data Privacy Protection Regulation, No. 42 of 2021
The Data Privacy Protection Regulation of 2021 defines "data collection and processing" broadly, including also transmission of data. Data processing, and therefore also data transfer across borders, is lawful under limited circumstances, including with the consent of the data subject or in case of necessity to comply with a legal obligation (Art. 5). Firms shall notify data subjects if their data is transferred abroad (Art. 6.10), providing also information about how long and where data will be stored overseas (Art. 6.8). The Regulation is not applicable to security agencies.
Coverage Telecommunication services providers and related industry sectors

KUWAIT

N/A

Pillar Cross-border data policies  |  Sub-pillar Participation in trade agreements committing to open cross-border data flows
Lack of participation in agreements with binding commitments on data flows
Kuwait has not joined any agreement with binding commitments to open transfers of data across borders.
Coverage Horizontal

KUWAIT

N/A

Pillar Telecom infrastructure and competition  |  Sub-pillar Signature of the WTO Telecom Reference Paper
Lack of appendment of WTO Telecom Reference Paper to schedule of commitments
Kuwait has not appended the World Trade Organization (WTO) Telecom Reference Paper to its schedule of commitments.
Coverage Telecommunications sector

KUWAIT

Since May 2014

Pillar Telecom infrastructure and competition  |  Sub-pillar Presence of independent telecom authority
Presence of an independent telecom authority
It is reported that the Communication and Information Technology Regulatory Authority (CITRA), the executive authority for the supervision and administration of services in the telecommunications sector, is independent from the government in the decision-making process.
Coverage Telecommunications sector

KUWAIT

Since May 2014

Pillar Telecom infrastructure and competition  |  Sub-pillar Other restrictions to operate in the telecom market
Law No. 37 of 2014 on the Establishment of Communication and Information Technology Regulatory Authority
Under Law No. 37 of 2014 on Telecommunications and Information Technology Regulatory Commission, the Communication and Information Technology Regulatory Authority (CITRA) issues licenses to telecom service providers. Under Art. 59, the CITRA employees have the power to: Request and examine licenses, books, registers, documents, and all papers related to the telecommunication activity; Examine and inspect any telecommunication devices, telecommunication installations, or any other facilities associated with providing telecommunication service or establishing, operating or owning telecommunication network; Review any additional information or documents in any form they might be related to the provision of telecommunication services. It is reported that "although Kuwait’s telecommunications industry is technically open to private investment, in practice the government maintains extensive ownership in the sector and controls licensing and infrastructure development. It is reported that Kuwait’s telecommunications law gives authorities sweeping power to revoke licenses and block content, with little judicial oversight."
Coverage Telecommunications sector

KUWAIT

N/A

Pillar Telecom infrastructure and competition  |  Sub-pillar Presence of shares owned by the government in telecom companies
Presence of shares owned by the government in the telecom sector
Three private mobile telephone companies provide cellular telephone and data services to the country (Zain Kuwait, VIVA and Ooredoo). The government owns a significant minority interest in each of them, but foreign companies own majority interests in two of them.
Coverage Telecommunications sector

KUWAIT

N/A

Pillar Telecom infrastructure and competition  |  Sub-pillar Functional/accounting separation for operators with significant market power
Requirement of accounting and functional separation for dominant network operators
It is reported that Kuwait mandates functional and accounting separation for operators with significant market power (SMP) in the telecom market.
Coverage Telecommunications sector

KUWAIT

N/A

Pillar Telecom infrastructure and competition  |  Sub-pillar Passive infrastructure sharing obligation
Lack of obligation to share passive infrastructure
It is reported that in Kuwait's telecommunications market, passive infrastructure sharing is practiced in fixed networks, based on both mandatory regulations and commercial agreements. On the other hand, passive infrastructure sharing in mobile networks is practiced but only on the basis of commercial agreements.
Coverage Telecommunications sector

KUWAIT

Since October 1980, entry into force in February 1981
Since June 2013
Since February 2016, as amended in April 2017

Pillar Telecom infrastructure and competition  |  Sub-pillar Maximum foreign equity share for investment in the telecommunication sector
Commercial Law No. 68 of 1980

Law No. 116 of 2013 Regarding the Promotion of Direct Investment in the State of Kuwait

Council of Ministers Law No. 15 of 2017 amending provisions of Law No. 1 of 2016 on the Promulgation of the Companies Law
Arts. 23 and 24 of Law No. 68 require foreign entities conducting business in Kuwait to do so either through a local agent or a Kuwaiti partner, which is typically facilitated through the establishment of a Kuwaiti company with Kuwaiti participants owning at least 51% of the share capital. An exception to these restrictions on foreign ownership is when the relevant Kuwaiti company is established and licensed under the Law No. 116 (Art. 12), which allows for increased levels of foreign ownership up to 100%. Law No. 116 permits the Kuwait Direct Investment Promotion Authority (KDIPA) to authorize, on a case-by-case basis, up to 100% foreign ownership in the following industries: communications infrastructure; information technology and software development; entertainment, investment management, among others. Although a Kuwaiti or Gulf Cooperation Council (GCC) national must own at least 51% of any local company, this requirement may be waived if non-GCC investors qualify to invest through KDIPA. A 2017 amendment to the 2016 Companies Law eliminated prohibitive requirements on limited liability companies.
Coverage Horizontal

KUWAIT

N/A

Pillar Intellectual Property Rights (IPRs)  |  Sub-pillar Effective protection covering trade secrets
Lack of regulatory framework covering trade secrets
Kuwait lacks a comprehensive regime for the protection of trade secrets.
Coverage Horizontal

KUWAIT

N/A

Pillar Intellectual Property Rights (IPRs)  |  Sub-pillar Signature of the WIPO Performances and Phonogram Treaty
Lack of signature of the WIPO Performances and Phonograms Treaty
Kuwait has not signed the World Intellectual Property Organization (WIPO) Performances and Phonograms Treaty.
Coverage Horizontal