In a significant move to modernize its digital economy, Kuwait has issued Decree Law No. 10/2026, creating a comprehensive regulatory framework for the country’s burgeoning digital commerce sector. This new legislation is designed to align national standards with global developments, fostering an environment that balances innovation with robust consumer protection and supports the national development strategy under the New Kuwait 2035 vision.
The decree aims to enhance trust in online transactions, promote transparency and fairness, and cultivate a secure, competitive digital marketplace that attracts investment and encourages innovation.
A Modern Framework for Digital Trade
The new law establishes a comprehensive legislative structure that integrates with existing regulations covering electronic transactions, consumer protection, copyright, cybersecurity, and competition. Comprising 45 articles spread across 10 chapters, the decree addresses the regulatory, procedural, supervisory, and punitive aspects of the digital commerce ecosystem.
This legal framework is set to provide clarity and stability for startups and established e-commerce players operating within Kuwait, setting clear guidelines for conducting business online.
Regulatory Oversight and Mandatory Registration
Under the new decree, the Ministry of Commerce and Industry is designated as the primary authority for regulating the sector and overseeing its implementation. The Ministry will be responsible for issuing all relevant regulations and decisions to enforce the law.
A key provision of the decree is the mandatory registration for any individual or entity wishing to operate in the digital commerce sector. This requirement ensures that all online providers of goods and services are officially recognized and accountable, further bolstering the integrity of the ecosystem. The law also mandates clear disclosure requirements, ensuring consumers are fully informed about product details and transaction terms.
Strengthening Consumer Rights in E-Commerce
A central focus of the new law is the empowerment of consumers. The decree grants online shoppers the right to amend or cancel contracts if an error occurs during the electronic contracting process.
Furthermore, consumers are given a 14-day window to withdraw from a contract after receiving a product. This allows them to exchange or return the item for a full refund using the original payment method, or another agreed-upon method, without incurring additional costs, provided specific conditions are met. This measure is expected to significantly boost consumer confidence in online shopping.
About New Kuwait 2035
New Kuwait 2035 is a national development plan aimed at transforming Kuwait into a leading financial, commercial, and cultural hub in the region. The vision is built on several key pillars, including a sustainable and diversified economy, effective governance, and a high-quality infrastructure. The regulation of the digital commerce sector is a critical step towards achieving the plan’s economic diversification goals.
Source: MEATECHWATCH
