DUBAI: Kuwait's central bank said on Wednesday it had decided to cut its discount rate to 2.75% from 3.0%.

The decision aims to "reduce the cost of borrowing in the Kuwaiti dinar, maintain a comfortable margin for the Kuwaiti dinar, and prove a supportive environment for investment," the central bank said in a tweet.

Earlier, the U.S. Federal Reserve cut rates by a quarter of a percentage point.

(Reporting by Aziz El Yaakoubi and Asma Alsharif, writing by Nafisa Eltahir Editing by Chizu Nomiyama) ((Nafisa.Eltahir@thomsonreuters.com; +971 56 226 1754;))