Kuwait Court of Cassation principle number 3198

Loans granted by banks. A commercial activity by its nature, whether or not the borrower is a merchant and whether expended on commercial or civil activities; the bank is entitled to default interest thereon whenever the grounds for entitlement exist. - The balance becoming an ordinary debt due for payment upon closure of the current account. The effect: interest at the banking rate applied to its individual entries while it was operating no longer applies; rather, the rate the parties agree to apply upon closure of the account applies. The statutory interest rate is 7% in the absence of agreement. The basis thereof.