Kuwait’s CMA launches nation’s first securities-based crowdfunding service

Kuwait debuts first securities-based crowdfunding platform via Capital Markets Authority.

KUWAIT CITY, July 20: In a landmark move aimed at advancing financial innovation, Kuwait’s Capital Markets Authority (CMA) on Sunday announced the official launch of the country’s first securities-based crowdfunding service, marking a significant step toward diversifying investment tools and promoting financial inclusion.

The CMA confirmed in a press statement that Al-Mawazi Capital has become the first company registered in its securities-based financial technology services registry, officially authorized to provide this pioneering platform service.

According to the statement, the launch aligns with the CMA’s broader strategic objectives to implement international best practices, expand capital markets, and introduce modern financial technologies that had previously not existed in Kuwait.

The securities-based crowdfunding model allows businesses—particularly small and medium-sized enterprises (SMEs)—to raise funds from the general public by offering capital shares or issuing securities via a licensed digital platform registered with the CMA.

This innovative service is designed to strengthen Kuwait’s financial technology (fintech) sector and bolster financial inclusion by creating alternative financing channels beyond traditional methods. It provides new investment opportunities for retail investors while supporting entrepreneurs and project owners seeking non-traditional capital sources.

The CMA noted that the registered crowdfunding platform acts as a regulated digital marketplace, where issuers can present funding opportunities and investors can engage directly in securities transactions tied to those crowdfunding offerings.

In addition to enhancing cash flow in the market, the platform is expected to attract a wide segment of the population interested in exploring new investment avenues, while also ensuring that entities providing such services meet regulatory standards and that investor rights are protected.

The CMA emphasized the growing significance of financial technologies, describing the sector as “rapidly evolving,” with increasing adoption across both individual and institutional users.

The Authority concluded by reaffirming its commitment to developing Kuwait’s capital markets and fostering innovation in financial services through secure, inclusive, and well-regulated platforms.