Everything to Know About Kuwait's New E-Commerce Law

Kuwait issues comprehensive e-commerce law, requiring online sellers to secure licenses and strengthen consumer protections.

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Everything to Know About Kuwait's New E-Commerce Law

The Kuwait government has issued a landmark e-commerce law aimed at regulating the rapidly expanding digital commerce sector, introducing mandatory licensing for online sellers and a host of new rules to protect consumers and enhance transparency in online transactions.

The decree, Law No. 10 of 2026, was published this week and outlines a comprehensive legal framework for digital trade that will take effect six months after its publication in the official gazette.

Under the new legislation, no individual or business may operate in the digital commerce sector without first registering and obtaining a license from the Ministry of Commerce and Industry. Sellers offering products or services through websites, social media platforms or e-marketplaces must also ensure that advertisements include clear and accurate information about the provider, pricing, product specifications and contact details. False or misleading claims are explicitly prohibited.

Consumer Rights and Protection

The law includes strong consumer protections designed to build confidence in online purchasing. Among its provisions, customers are granted the right to amend or cancel contracts if an error occurs during an electronic transaction. Additionally, consumers may withdraw from a purchase within 14 days of delivery and return or exchange products for a full refund using the original payment method, without extra charges, provided the item remains in its original condition.

To ensure a secure digital marketplace, the decree mandates compliance with cybersecurity standards and requires sellers to use electronic payment service providers licensed by the Central Bank of Kuwait. It also restricts businesses from imposing additional fees for electronic payments without prior approval from the central bank.

Regulatory Oversight and Penalties

The law establishes two specialized committees to oversee enforcement: a Violations Committee, which reviews and addresses infractions, including settlements or referrals to public prosecution, and a Dispute Resolution Committee, which handles conflicts between consumers and providers. The committees have the authority to impose financial penalties or refer serious violations for criminal prosecution.

Penalties for non-compliance are significant, including imprisonment and fines for serious offences. Repeat violators could face doubled penalties, confiscation of tools or proceeds linked to violations, and closure of non-compliant online stores.

The decree aligns with Kuwait’s broader development goals under its New Kuwait 2035 vision, which seeks to modernize the economy and foster a secure, transparent environment for digital commerce and innovation.