Central Bank of Barbados (CBB)

The Central Bank of Bahrain has issued draft resolutions under Law No. 23 of 2025 to regulate partial cheque payments via the Partial Cheque Payment System and standardize credit reporting procedures for returned cheques in the Bahrain Credit Reference Bureau. Retail banks and the BENEFIT Company must electronically review these proposals and submit their feedback, including nil comments, by 1 June 2026. The updated framework will streamline cheque clearance operations and improve the accuracy of consumer credit records across the financial sector.

The Central Bank of Bahrain proposes reducing the minimum initial paid-up capital for newly licensed retail, wholesale, and financing companies to BD 2 million and BD 250 thousand, respectively. These revised thresholds apply directly to new license applicants, while existing institutions must obtain regulatory approval for capital structure adjustments. The reduction lowers market entry barriers to attract investment and foster specialized financial services, all while preserving the existing risk-based Basel III capital adequacy framework.

The Central Bank of Bahrain proposes the Payment Services Requirements Module, establishing a unified regulatory framework for payment service providers, money changers, account and payment initiation service providers, and crypto-asset licensees. The new rules align with the European Union’s PSD2 and PSD3 directives, updating governance, security, operational standards, and capital requirements while introducing risk-based capital calculations, strong customer authentication, open banking services, and specific wallet limits for digital token payments. Existing licensees must comply with these enhanced controls, transparency measures, fraud prevention mechanisms, and liability rules, with regulatory feedback requested by 5 March 2026.

The Central Bank of Bahrain issued a consultation on its proposed Buy Now Pay Later Module, establishing new regulatory requirements for short-term credit offerings. The framework mandates enhanced customer safeguards, standardized marketing disclosures, debt burden assessments, and structured payment difficulty measures to ensure a level playing field. Licensees must submit completed consultation questionnaires and formal comments by 8 December 2025 to finalize the regulatory framework.

The Central Bank of Bahrain has issued a consultation proposing revised client money safeguarding requirements for Payment Service Providers and Crowdfunding Platform Operators. The proposal outlines three permissible safeguarding methods—trust or escrow accounts, regulated insurance coverage, and bank guarantees—and requests licensees to evaluate their practicality, operational costs, and fiduciary account controls. Licensees must submit written comments and completed questionnaire responses by 10 November 2025 to shape the final implementation of these updated rules.

The Central Bank of Bahrain proposes a regulatory framework for issuing and offering Sustainable and Sustainability-Linked Debt Securities, adding Sections OFS-1.15 and OFS-5.15 to its Offering of Securities Module. The rules require enhanced disclosure standards and independent advisor verification to prevent greenwashing while aligning capital market activities with sustainable development goals. Market participants must submit consultation feedback by 30 September 2025 to shape the final implementation of these issuance requirements.

The Central Bank of Bahrain has issued a consultation proposing amendments to its Credit Risk Management Module, which will replace existing large exposure and connected counterparty requirements for all Bahraini bank licensees. The revised framework introduces a new large exposure limit of twenty-five percent, rationalizes exempt exposures, and mandates a uniform methodology for calculating capital add-ons related to credit concentration risk. Licensees must submit completed consultation questionnaires detailing the impact on their capital adequacy and credit strategies by 17 April 2025.

The Central Bank of Bahrain proposes a new Netting Law based on the ISDA Model Netting Act to replace its 2014 close-out netting regulation for market contracts. This legislative update standardizes legal protections for financial institutions and clarifies the enforceability of netting agreements across licensed entities. Regulated licensees, audit firms, and law firms must submit their written feedback, including nil comments, in an editable format by 12 January 2024.

The Central Bank of Bahrain proposes a new regulatory framework governing the issuance and offering of stablecoins to licensed financial entities. The proposed module establishes risk-proportionate capital requirements, mandates specific reserve asset composition and management mechanisms, and enforces strict segregation of client assets. Licensees and interested parties must submit their feedback, including responses to the consultation questionnaire covering redemption rights and operational impacts, by 17 November 2024.

The Central Bank of Bahrain has issued a consultation proposing a new Fit and Proper Requirements Module that will supersede existing Training, Competency, and Approved Persons Conditions rules for all licensees. The proposed framework shifts accountability for senior management appointments and organizational structure design to licensees, specifically placing responsibility on the Chairman of the Board and Chief Executive Officer. Licensees must develop customized fit and proper criteria using the provided illustrative standards, a change designed to reduce regulatory dependency on the CBB and accelerate senior appointment timelines.

The Central Bank of Bahrain has issued a consultation on proposed amendments to Resolution No. 33 of 2018 that establish licensing conditions and introduce a new category C classification for managed trust companies. Regulated entities, including banks, fund administrators, law firms, and audit practices, must submit written or nil comments on the draft resolutions by 20 October 2024. The bilingual draft resolutions are accessible on the regulator’s website under the Open Consultations section for public review.

The Central Bank of Bahrain has issued a second consultation proposing amendments to the Capital Adequacy Module Part 2 to enhance risk measurement and optimize capital allocation for credit risk exposures. The revised framework introduces updated criteria for counterparty credit risk, cross-product netting, failed trades, and securitisations, directly impacting how conventional banks calculate risk-weighted assets. Licensees are required to complete the attached impact assessment questionnaire and submit their feedback, including nil responses, by 1 September 2024.

The Central Bank of Bahrain (CBB) issued a consultation on proposed amendments to Resolutions No. 27 and 28 of 2008, which govern the composition of professional associations' boards of directors and chairpersons. Regulated financial entities must submit their feedback or nil comments in editable format to consultation@cbb.gov.bh by 27 August 2024. The draft resolutions, available on the CBB website, will standardize governance structures and streamline regulatory oversight for these professional bodies.

The Central Bank of Bahrain proposes a new Interest Rate Risk in the Banking Book Module to enhance its regulatory framework and establish compliance standards for conventional banks. The directive requires identified banks to adhere to Chapter IR-2 provisions, while all regulated entities must submit feedback or nil comments in an editable format by 31 March 2024. The proposed module will be published on the CBB website and integrated into Volume 1 of the CBB Rulebook upon finalization.

The Central Bank of Bahrain proposes requiring all addressed financial licensees to implement secure, varied customer notification methods for transactions and account updates. Licensees must provide selectable delivery channels such as in-app alerts, email, and SMS, while ensuring digital switching capabilities, on-screen OTP auto-input, and preferred language selection. The consultation period closes on 13 February 2024, requiring all licensees to submit their feedback, including nil responses, via email in an editable format.

The Central Bank of Bahrain proposes amendments to its Operational Risk Management, General Requirements, and Crypto-asset modules to strengthen the cybersecurity framework for banks, payment service providers, and crypto-asset licensees. These amendments mandate affected entities to subscribe to both a cyber threat intelligence service and an external attack surface management platform. Regulated organizations must submit their feedback, including nil comments, in editable format by 28 January 2024.

The Central Bank of Bahrain proposes a new Chapter BC-5 on Life and Unit-Linked Insurance under Module BC to standardize regulatory requirements for insurance firms. The consultation details specific amendments governing life and unit-linked policies, which will be published on the regulator’s website for public review. All insurance companies and external audit firms must submit their feedback, including nil responses, in an editable format by 28 January 2024.

The Central Bank of Bahrain proposes new insurance cover requirements for loans under the Business and Market Conduct Module, specifically targeting financing company licensees. These amendments to the CBB Rulebook mandate enhanced regulatory standards for loan insurance coverage and are currently open for public consultation on the regulator's website. Financing companies must submit their feedback, including nil responses, to the CBB by 28 January 2024.

The Central Bank of Bahrain proposes amendments to the General Requirements Module (Module GR) updating dividend and profit repatriation rules for insurance licensees. Licensees must submit editable feedback, including nil responses, to consultation@cbb.gov.bh by 28 December 2023. The CBB will publish the finalized amendments on its website following the consultation period.

The Central Bank of Bahrain has issued this consultation to amend its Financial Crime Module, clarifying Customer Due Diligence requirements for onboarding companies under formation and newly arrived persons. The amendments permit licensees to receive funds before full verification while restricting disbursements, and establish distinct rules for capital injection and formation expense accounts alongside a mandatory six-month suspension or closure timeline. Licensees must implement risk-based procedures, including Sijilat system integration and transaction monitoring, to ensure compliance without imposing undue operational burdens.

The Central Bank of Bahrain proposes amendments to Section CM-5.4 of its Credit Risk Management Module, requiring retail banks and financing companies to automatically restructure eligible consumer finance facilities into a maximum ten-year tenor. Institutions must obtain customer acceptance via email or SMS, ensure the restructuring does not trigger a stage two downgrade, and maintain existing interest rates while applying permitted reschedule fees. The revised tenor calculation incorporates previously elapsed loan periods, excludes stage three exposures, and invites stakeholder feedback by 13 December 2023.

The Central Bank of Bahrain issued an amendment to its consultation draft on insurance cover for loans and financing, refining the cost recovery methodology to enhance customer fairness. The revised rules are codified in Paragraph BC-4.21.2 of the Business and Market Conduct Module (Volumes 1 and 2) within the CBB Rulebook. Retail banks must submit their feedback, including nil responses, in editable format by 26 November 2023.

The Central Bank of Bahrain proposes amendments to Section TMA-2.2 of its Takeovers, Mergers and Acquisitions Module to update independent advice and shareholder approval procedures. All CBB licensees, listed companies, and self-regulatory organisations must submit written feedback, including nil comments, in editable format by 19 October 2023. The regulator will publish the final amendments on its website after reviewing stakeholder responses.

The Central Bank of Bahrain proposes amendments to the Bahrain Open Banking Framework that mandate embedded authentication flows for customer onboarding by Account Information and Payment Initiation Service Providers. These requirements obligate Account Service Provider Sponsored Payment Service Providers to publicly disclose and report API performance statistics while introducing parallel reporting obligations for AISPs and PISPs. Licensees must implement the updated framework by 1st April 2024, following a consultation period that closes on 18th October 2023.

The Central Bank of Bahrain has issued a draft resolution to regulate security rights over financial institution accounts and eligible securities under the Secured Transactions Law. The regulator requires all addressed licensees, listed companies, audit firms, and law firms to submit their feedback, including nil responses, in editable format by 3 October 2023. Stakeholders may review the full proposal on the CBB website and direct their submissions to the designated consultation email address.

The Central Bank of Bahrain has issued a consultation proposing mandatory ESG disclosures for listed companies and regulated financial licensees in their annual reports and financial statements. The regulator aims to align these disclosures with Bahrain’s sustainability development goals and requires full implementation for the fiscal year ending 31 December 2024. Stakeholders are invited to submit readiness assessments and implementation feedback by 17 September 2023 via the CBB’s open consultations portal.

The Central Bank of Bahrain proposes amendments to Module CA Part 2 (Credit Risk) of its Rulebook, replacing Appendix CA-2 and introducing a new Appendix CA-24 to align with Basel III standards. These changes require all Bahraini conventional banks and audit firms to adjust their capital adequacy calculations and reporting frameworks accordingly. Stakeholders must submit written comments, including nil responses, in an editable format to the regulator by 14 September 2023.

The Central Bank of Bahrain proposes a new Section CRA-5.9 within its Crypto-asset Module to mandate Cyber Hygiene Practices for licensed entities. The regulator requires crypto-asset licensees to submit written feedback, including nil responses, in an editable format by 23 August 2023. These amendments will be published on the CBB website to strengthen the Kingdom's overarching regulatory framework for digital assets.

The Central Bank of Bahrain proposes a new Family Offices Module to establish licensing and operational requirements for family office services under Rulebook Volume 4. Regulated entities, including investment firms and trust service providers, must submit written or nil comments in editable format by 21 August 2023. The finalized framework will standardize compliance obligations and be published on the regulator’s official website for immediate implementation.

The Central Bank of Bahrain proposes amendments to the Financial Crime Module (Module FC) governing companies under formation within Rulebook Volumes 1 and 2. Regulated entities must submit their feedback or nil comments in editable format to the regulator by 17 August 2023. These updates will be published on the Central Bank website and integrated into the national framework to strengthen financial crime compliance.

The Central Bank of Bahrain proposes a revised High-Level Controls Module (Module HC) to replace the existing framework under Volume 3 of its Rulebook. The updated requirements will be published on the CBB website and apply to all insurance licensees. Licensees must submit their feedback, including nil responses, in editable format by 10 August 2023.

The Central Bank of Bahrain proposes new insurance cover requirements for loans and financing under Module BC of its Rulebook, applying to both conventional and Islamic retail banks. These amendments establish specific coverage standards that financial institutions must implement to align with enhanced regulatory framework expectations. Banks are required to submit their feedback, including nil comments, in editable format via email by 24 July 2023.

The Central Bank of Bahrain proposes a revised High-Level Controls Module (Module HC) to replace existing requirements and establish a unified regulatory standard for money changers, financing companies, administrators, trust service providers, microfinance institutions, and ancillary service providers. The updated module will be integrated into Volume 5 of the CBB Rulebook and published on the regulator’s website for public review. Licensees must submit written or nil comments regarding the proposed amendments by 24 July 2023 via email.

The Central Bank of Bahrain proposes amendments to its Financial Crime Module to update customer due diligence and enhanced due diligence requirements for all regulated banks. The revised measures will be published on the CBB website following the consultation period. Financial institutions must submit their feedback, including nil responses, in an editable format to the regulator by 18 July 2023.

The Central Bank of Bahrain proposes targeted amendments to its Financial Crime and Anti-Money Laundering modules to standardize how licensees rely on third parties for customer due diligence. These updates revise the CBB Rulebook across Volumes 1 to 6, clarifying eligibility criteria and ongoing compliance responsibilities for outsourced due diligence functions. Licensees must submit written feedback, including nil responses, in an editable format by 4 July 2023 to inform the finalization of these regulatory changes.

The Central Bank of Bahrain requires all licensees to submit comments, including nil responses, on the National Cyber Security Center’s draft National Risk Management Framework for Information Security by 29 June 2023. This framework introduces enhanced cybersecurity controls specifically targeting the Financial Services sector as a designated Critical National Infrastructure entity. Licensees may review and provide feedback on the editable draft via email or through the CBB’s Open Consultations portal.

The Central Bank of Bahrain (CBB) has issued a draft resolution establishing comprehensive rules and procedures for the takeover, merger, and acquisition of shares in joint-stock companies listed on its licensed stock exchanges. This regulatory framework, grounded in Article 93 of the Central Bank of Bahrain and Financial Institutions Law, standardizes transaction processes to strengthen market oversight. All CBB licensees, listed companies, self-regulatory organizations, and professional service providers are required to submit their written comments in editable format by 6 June 2023.

The Central Bank of Bahrain proposes amendments to its General Requirements and Capital Adequacy Modules to clarify rules governing dividends and profit repatriation for all licensed banks. The regulator invites industry stakeholders, including external auditors, to submit written comments or nil responses by 10 May 2023. These proposed changes will be published on the CBB website and integrated into Volumes 1 and 2 of the Rulebook upon finalization.

The Central Bank of Bahrain proposes mandatory two-factor authentication requirements for customer identification and authorization across financing companies, money changers, crowdfunding platform operators, and payment service providers under Volume 5 of its Rulebook. These standards strengthen the regulatory framework by mandating robust verification processes for specialized licensees operating within the Kingdom. Addressed entities must submit electronic feedback, including nil responses, to consultation@cbb.gov.bh by 2 May 2023.

The Central Bank of Bahrain (CBB) has issued a consultation proposing revised High-Level Controls (HC) Module requirements under its Rulebook Volume 4. These amendments will replace the existing HC Module and introduce corresponding updates to the CBB Reporting Requirements (BR) and Risk Management (RM) Modules. Licensees and external auditors are invited to submit written feedback, including nil comments, via email by 2 April 2023.

The Central Bank of Bahrain proposes amendments to its open banking regulations to extend digital financial service access to legal persons. The updated framework requires retail banks to share consenting corporate customer data with Account Information and Payment Initiation Service Providers, while mandating aligned API specifications, onboarding processes, and security standards. These changes explicitly define the required data sets and applicable product categories to standardize corporate open banking operations across licensed entities.

This draft resolution, issued by the regulatory authority, amends Resolution No. (34) of 2010 to mandate that conventional and Islamic banks collectively contribute determined amounts into their respective funds according to a Council-approved mechanism. It requires the Council to conduct annual evaluations of both fund sizes relative to covered obligations and submit recommendations for adjustments, while prohibiting any fund amount amendments without explicit Bank approval. Additionally, it introduces a new clause to Article (15) governing the transfer of contribution funds between funds when a bank's license converts from conventional to Islamic or vice versa, following Council-determined rules.

The Central Bank of Bahrain has published a consultation on a proposed resolution establishing the legal framework for securities types, offering methods, and issuer obligations under Article 83 of its governing law. Regulated entities, including licensees and listed companies, must submit their feedback or nil comments in editable format to the regulator by 29 January 2023. The finalized resolution will be published on the CBB website and directly governs how securities are issued, traded, and regulated within the Kingdom of Bahrain.

The Central Bank of Bahrain (CBB) proposes amendments to Chapter GR-9 and the Glossary definition within Volume 3 of its Rulebook to update regulatory requirements for Appointed Representatives. These revisions apply to all licensed insurance firms and mandate the submission of written comments, including nil responses, by 30 December 2022. Submissions must be delivered in editable format to consultation@cbb.gov.bh prior to the publication of the finalized amendments on the CBB website.

The Central Bank of Bahrain has integrated a draft national cybersecurity standard from the Ministry of Interior’s National Cybersecurity Center into all Rulebook volumes, requiring licensees to implement best practices across seven domains: governance, financial technology cybersecurity, cyber defense, assessment, third-party security, incident management, and audit. Regulated entities must review the draft standards and submit their feedback or nil comments in an editable format to the National Cybersecurity Center by 22 November 2022, copying the Central Bank. These controls will establish mandatory compliance frameworks for financial institutions to strengthen their overall cybersecurity posture and operational resilience.

The Central Bank of Bahrain (CBB) requests all retail banks to review proposed amendments to the Law of Commerce submitted by the Ministry of Legal Affairs. Institutions must assess the draft changes from technical and legal perspectives, then submit their feedback—including nil responses—in an editable format to the CBB by 6 November 2022. The complete draft amendments are publicly accessible on the CBB website for broader stakeholder consultation.

The Central Bank of Bahrain proposes new client money requirements for payment service providers under the General Requirements Module of its Rulebook. These obligations mandate specific safeguarding and segregation standards for client funds to strengthen the regulatory framework for ancillary service providers. The regulator invites industry feedback, including nil responses in editable format, by 16 October 2022.

The Central Bank of Bahrain (CBB) has issued a consultation requesting all retail banks to review the Real Estate Regulatory Authority’s draft amendments to Resolution No. (3) of 2018 governing escrow accounts for off-plan property sales. Banks must submit their feedback, including formal "nil comments," in an editable format to the CBB by 11 October 2022. The complete draft resolution is publicly accessible on the CBB website under its Open Consultations section for stakeholder review.

The Central Bank of Bahrain issued amendments to its Collective Investment Undertakings Module to clarify regulatory requirements for overseas domiciled funds and exchange-traded funds. The revisions exclude foreign-listed ETFs from the module's scope, treat them as securities, and establish a ten-working-day notification deadline for placement agents ceasing to offer these funds. Furthermore, the amendments streamline the authorization process by allowing retail funds targeting accredited investors to utilize the faster notification channel while reinforcing licensee due diligence and governance obligations.

The Central Bank of Bahrain requires investment firm licensees to deploy technology and transaction monitoring systems that verify the origin, destination, and legitimacy of all crypto-asset transfers. The regulation classifies these movements as cross-border, mandates complete originator and beneficiary data for inward and outward transfers, and compels immediate Suspicious Transaction Reports for tainted or suspicious wallet addresses. It further assigns specific information transmission, retention, and verification duties to ordering, intermediary, and beneficiary financial institutions while updating the Financial Crime Module glossary.

The Central Bank of Bahrain has issued comprehensive amendments to its Crypto-Asset Module, establishing a detailed licensing framework for crypto-asset services and digital token offerings within the Kingdom. The updated rules mandate strict capital, custody, and cybersecurity standards while categorizing licensees into four distinct tiers based on their permitted activities, such as trading, portfolio management, and exchange operations. Furthermore, the amendments enforce robust client protection measures, clear conduct of business obligations, and comprehensive enforcement powers to mitigate financial crime and market abuse in the rapidly evolving digital asset sector.

The Central Bank of Bahrain (CBB) proposes a revised High-Level Controls Module to replace existing Rulebook Volumes 1 and 2 requirements for all licensed banks. The updated framework strengthens regulatory oversight, with the revised module now published on the CBB website for public review. Regulated entities must submit written feedback, including nil responses, in editable format by 31 August 2022.

The Central Bank of Bahrain has issued a consultation circular requesting stakeholder feedback on its revised draft Secured Transactions Law. All designated financial licensees, audit firms, and law firms must submit their comments, including nil responses, in an editable format to the regulator’s designated email address. Submissions are due by 13 June 2022, with the full draft available for review on the Central Bank’s official website.

The Central Bank of Bahrain proposes amended cybersecurity rules requiring financial licensees to use a single unified private email domain and prohibit third-party domains for customer communications. The consultation further mandates the exclusion of all URLs and clickable links from SMS, emails, and short messages to mitigate phishing risks and data breaches. Licensees must evaluate their communication methods and submit comments on these proposed measures by 5 June 2022.

The Central Bank of Bahrain proposes revised outsourcing requirements that will replace existing regulations across all volumes of its Rulebook. Licensees must submit their feedback, including nil responses, in an editable format by 11 May 2022. The finalized framework will be published on the CBB website following the consultation period.

The Central Bank of Bahrain proposes new compliance requirements for financial licensees managing accounts of expatriates with expired or unrenewed work permits who no longer reside in the Kingdom. Licensees must update customer KYC data upon learning of non-residency, may temporarily suspend unresponsive accounts, and must immediately freeze accounts operated by unauthorized third parties. To facilitate implementation, the regulator will distribute weekly lists of affected expatriates sourced from the Labour Market Regulatory Authority.

The Central Bank of Bahrain has issued proposed amendments to its financing-based and equity crowdfunding regulations to better accommodate prevailing business models. These updates modify authorization, general, and market requirements across Modules AU, GR, and MAE in Volumes 5 and 6 of the CBB Rulebook. Regulated participants must submit their electronic feedback, including nil responses, by 8 March 2022.

The Central Bank of Bahrain issued this consultation to assess the operational effectiveness and practical application of Decree Law 23 of 2016 governing trusts after five years in force. Financial institutions, trust service providers, and legal firms must submit actionable feedback regarding implementation shortcomings and proposed amendments by 28 February 2022. The regulator will analyze these submissions to decide whether formal legislative amendments to the trust framework are required.

The Central Bank of Bahrain proposes to rationalize its regulatory framework by consolidating all existing modules in Part A of Volume 7 into a single Collective Investment Undertaking Module alongside an updated Glossary of Terms. This streamlined structure will simplify compliance obligations for banks, investment firms, administrators, and trust service providers while application forms in Part B undergo subsequent amendments. Stakeholders are invited to submit written comments on the proposed regulations by 17 February 2022.

The Central Bank of Bahrain has proposed new regulatory caps on fees and charges for standard services provided by Microfinance Institutions. These limits will be formally integrated into the Business and Market Conduct Module as Appendix BC-3 within Volume 5 of the CBB Rulebook. All affected institutions must submit their written feedback, including nil responses, electronically by 10 February 2022.

The Central Bank of Bahrain has issued a draft Resolution pursuant to Legislative Decree No. 22 of 2021 to implement the Execution Law in Civil and Commercial Matters across all licensed banks. Regulated entities must submit their feedback, including nil responses, in an editable format to the regulator’s consultation email by 31 January 2022. The proposed framework is publicly accessible on the CBB website and aims to strengthen Bahrain’s financial sector regulatory alignment.

The Capital Markets Authority of Bahrain (CBB) has issued proposed amendments to its Take-overs, Mergers and Acquisitions Module that lower the compulsory acquisition threshold to 90 percent, introduce flexible settlement mechanisms, and establish objective independence criteria for professional advisers. These revisions streamline the appointment process, reduce restrictions on international advisors, and ensure robust conflict-of-interest assessments for corporate finance transactions. The updated framework enhances transparency and bargaining power for licensees while maintaining rigorous standards for fair valuation and advisory quality.

The Central Bank of Bahrain has issued proposed draft advertisement rules requiring conventional retail bank licensees to ensure all financial product promotions are clear, truthful, and properly disclose costs, risks, and eligibility criteria. The amendments mandate robust internal and external auditor oversight for raffles and lotteries, establish an opt-out consent mechanism for electronic marketing communications, and clarify accessibility standards for advertisements across traditional and social media platforms. Licensees must comply with these updated requirements while maintaining fair play, timely winner notifications, and appropriate monetary valuations for promotional gifts.

The Central Bank of Bahrain proposes integrating Chapter OM-2A and Appendix OM-2 into its Operational Risk Management Module to standardize cloud outsourcing requirements. All addressed licensees must submit written feedback, including nil responses, regarding these draft provisions by 3 August 2021. Completed responses must be delivered electronically in an editable format to the designated consultation email address for regulatory review.

The Central Bank of Bahrain proposes to amend the Business Conduct Module of its Rulebook by eliminating the mandatory police report requirement for lost cheques. Under the new procedure, drawee banks must accept written stop payment or cancellation requests from cheque issuers via letter or email and process them immediately upon receipt. Licensed banks are required to review the proposal and submit their electronic comments, including nil responses, by 27 July 2021.

The Central Bank of Bahrain proposes amendments to its Open Banking Regulations, requiring retail banks to obtain direct regulatory approval rather than white-labeling licensed third-party providers to deliver Account Information and Payment Initiation Services. The updated framework expands customer definitions to include corporate entities, mandates free data access for up to 12 months, and establishes bilateral fee structures for value-added services. Furthermore, the regulations enforce bi-annual penetration testing with extended reporting deadlines and require banks to maintain strong customer authentication alongside SMS verification for payment transactions.

The Capital Markets Authority of Bahrain (CBB) has finalized proposed amendments to Module MIE following industry consultation, requiring licensees and listed companies to disclose all financial penalties in their annual reports regardless of category. The updated framework implements a risk-based scaling system for fines up to the statutory BD 100,000 cap and clarifies that major enforcement actions remain public while permitting the CBB to apply multiple remedial measures concurrently. Internal penalty determinations will continue to evaluate violation impact, nature, and deliberateness under a strict proportionality principle, ensuring transparent and legally grounded regulatory responses.

The Central Bank of Bahrain has issued a revised draft Secured Transactions Law for public consultation following its initial 2020 proposal. All licensees, audit firms, and law firms must submit their written feedback, including nil responses, electronically in an editable format by 22 April 2021. The regulator will review these submissions to finalize the legislative framework governing collateral and security interests across Bahrain.

The Central Bank of Bahrain proposes new Chapter requirements within its Liquidity Risk Management Module to establish a Loans to Deposit Ratio for conventional retail banks and a Financing to URIA and Current Account Ratio for Islamic retail banks. All addressed licensees must submit their feedback, including nil responses, electronically in an editable format to the designated consultation email. Submissions must be received by 22 April 2021 to finalize these regulatory updates.

The Central Bank of Bahrain mandates all retail banks to increase SME financing exposure to at least 20 percent of domestic portfolios by December 31, 2025 via a phased rollout. Licensees must establish dedicated SME financing departments or units with appropriate hierarchical positioning and allocated resources. Banks are further required to amend existing credit policies and procedures to fully implement these regulatory standards.

The Central Bank of Bahrain (CBB) invites all bank licensees to review and submit comments on a proposed amendment to the Draft Regulation Governing Control in Bank Licensees. The new provision empowers the regulator to impose targeted restrictions when approving control, such as capping ownership stakes in non-listed banks, mandating board restructuring and independent director quotas, limiting related-party transactions, and aligning corporate governance frameworks. Licensees must electronically return their feedback, including nil responses, by 7 February 2020.

The Central Bank of Bahrain issues this consultation on its Draft Training and Competency Module Volume 3 to establish mandatory qualification, experience, and continuous professional development standards for individuals holding controlled functions within insurance licensees. The module mandates a minimum of fifteen annual CPD hours, formally adds the Deputy Money Laundering Reporting Officer as a controlled function, and specifies recognized professional certifications such as the CII Diploma in Regulated Financial Planning and BIBF’s ADIF and ADICJ qualifications for Islamic insurance roles. Existing approved persons may benefit from grandfathering provisions, while newly appointed staff must comply with the updated competency criteria to ensure consistent regulatory oversight and workforce quality across Bahrain’s insurance sector.

The Central Bank of Bahrain proposes amendments to Module AU Volume 4 to clarify the regulatory framework for investment firms arranging and advising on credit facilities. The revisions permit Category 1, 2, and 3 firms to handle loans unconnected to financial instruments or provided by foreign licensed credit providers, subject to prior written approval and demonstrated officer competence. New provisions explicitly define accredited and expert investors as eligible borrowers while prohibiting dealings with retail clients, thereby streamlining credit advisory services under the CBB Rulebook.

The Central Bank of Bahrain, coordinating with the Economic Development Board, has released a proposed draft Secured Transactions Law for stakeholder review. All licensees, audit firms, and law firms must submit their written feedback or nil comments electronically to the regulator by 6 April 2020. This consultation builds upon a March 2017 circular and provides the revised draft for public access on the CBB website.

The Central Bank of Bahrain proposes reducing the retention period for non-performing facilities data in Credit Reference Bureau reports to three years for retail customers and five years for corporate entities. This change addresses customer complaints over service denials caused by outdated non-performing records. Licensed financial institutions must submit electronic comments, including nil responses, to the regulator by 10 March 2020.

The Central Bank of Bahrain requests feedback from retail banks and financing companies on the Secretariat General of the GCC’s draft Unified Law on Commercial Security. Submissions must be sent electronically in an editable format to consultation@cbb.gov.bh by 27 February 2020, including explicit nil responses. This consultation process finalizes the regulatory framework designed to standardize commercial security arrangements and accelerate economic integration across GCC member states.

The Central Bank of Bahrain (CBB) proposes amending Regulation No. (1) of 2007 to formally recognize “providing electronic transferable instruments” as a regulated service, aligning regulatory frameworks with the upcoming e-Cheque Project launch on 8 April 2020. Licensees are required to submit their feedback, including nil comments, electronically in an editable format by 3 February 2020. The amended regulation will be published on the CBB website and takes effect the day following its official gazette publication.

The Central Bank of Bahrain proposes amendments to its Cyber Security Risk Management directive, specifically enhancing Section OM-6.6 of the CBB Rulebook for Volumes 1 and 2. All banks, external audit firms, and interested parties are required to submit electronic comments or nil responses by 22 January 2020. These proposed revisions follow industry feedback on a March 2019 draft and will be published for public review on the regulator’s website.

The Central Bank of Bahrain proposes amendments to Article 32.5 of its Disclosure Standards to standardize the dividend declaration and payment timelines for listed companies. The revised provisions mandate a minimum five-market-day window between dividend announcement and the record date, establish a maximum ten-market-day payment deadline from that record date, and require at least one post-meeting trading day for cum-dividend transactions. These adjustments eliminate previous dual-timeline ambiguities, align Bahrain’s corporate action practices with international standards, and enhance market transparency for informed investor decision-making.

The Central Bank of Bahrain has issued a consultation on its proposed draft regulation to replace Resolution No. 31 of 2008, establishing updated control requirements for all domestic and foreign bank licensees. The framework mandates compliance with revised governance standards, including specific provisions for foreign banks under Article 2. Regulators require all licensed institutions to submit their feedback electronically in an editable format by October 27, 2019.

The Central Bank of Bahrain requires all retail banks and financing companies to submit an attached operational cost survey by 25 August 2019. This submission supports the Global Financial Innovation Network’s assessment of digital regulatory reporting feasibility and potential across member jurisdictions. Regulated entities must complete the questionnaire to demonstrate their operational capacity and readiness for standardized digital reporting frameworks.

The Central Bank of Bahrain requires all financial licensees to immediately block, unblock, or inquire about customer assets in response to court and Public Prosecutor orders. Licensees must utilize the centralized online blocking system, maintain real-time monitoring processes, and implement board-approved policies to prevent unauthorized asset transfers or premature customer notifications. Failure to comply with these operational and reporting obligations triggers direct enforcement actions against the licensee under Article 128 of the CBB Law.

The national regulatory authority issued the Electronic Commerce Law to establish a comprehensive legal framework for digital transactions. The legislation mandates strict compliance standards for all registered online businesses and cross-border platforms. It further defines standardized consumer protection measures to ensure secure electronic payments and data privacy.

The Central Bank of Bahrain has issued a consultation on revised Credit Risk Management requirements (Module CM) for inclusion in Rulebook Volume 2. The updated framework incorporates Financial Accounting Standard 30 impairment provisioning, Basel Committee large exposure controls, and non-performing asset management best practices. Islamic banks, audit firms, and other stakeholders must submit their written feedback electronically in an editable format by 7 March 2019.

The Central Bank of Bahrain has issued a consultation on its revised Credit Risk Management Module (Module CM), which updates regulatory requirements for conventional banks and audit firms. The proposed directive incorporates IFRS 9 impairment provisioning standards, Basel Committee guidelines on large exposures, and enhanced practices for managing non-performing assets. Interested parties must submit their electronic comments, including nil responses, in an editable format to the regulator by 7 March 2019.

The Central Bank of Bahrain (CBB) issued a consultation paper outlining the operational framework and regulatory cooperation mechanisms of the Global Financial Innovation Network (GFIN). All licensees, audit firms, and law firms must submit their feedback, including nil responses, electronically in an editable format. Submissions are due to consultation@cbb.gov.bh by 14 October 2018.

The Central Bank of Bahrain (CBB) has issued a consultation proposing the addition of Leverage Ratio requirements to Module CA, introducing specific chapters for Islamic (CA-10) and conventional banks (CA-15). All Bahraini bank licensees, audit firms, and law firms must submit their feedback, including nil comments and impact assessments with leverage measures. Electronic responses in editable format are due by September 16, 2018, via email to consultation@cbb.gov.bh.

The Central Bank of Bahrain proposes standardized requirements and templates for press releases detailing the financial results of public listed shareholding companies. These mandates enhance corporate disclosure and transparency while protecting shareholders and investors from misleading financial communications. Regulated entities must review the bilingual guidelines and submit electronic feedback, including nil comments, by 28 June 2018.

The Central Bank of Bahrain has issued four new risk management modules to its Rulebook, establishing specific requirements for Domestic Systematically Important Banks, reputational risk, internal capital adequacy, and stress testing. These modules apply to all Bahraini bank licensees or designated domestic systemically important banks, mandating framework submissions by September 2019 and ongoing reporting schedules starting in late 2019. Banks must align their operational frameworks with the prescribed timelines for annual and bi-annual submissions, independent third-party reviews, and recovery plan approvals as detailed in the attached annexure.

The Central Bank of Bahrain proposes amendments to the Capital Adequacy Module (Part 3, Chapters CA-8 to CA-10) for conventional and Islamic banks to align with Basel Committee standards on market risk management. These changes revise the boundary between trading and banking books, update the standardised approach, and modify the internal models approach. Locally incorporated banks and audit firms must submit their feedback, including nil responses, electronically to consultation@cbb.gov.bh by 4 April 2018.

The Central Bank of Bahrain proposes a new Liquidity Risk Management Module for conventional banks and an enhanced version for Islamic licensees to strengthen regulatory oversight. Bank licensees and audit firms must submit their feedback, including nil responses, electronically in an editable format. All consultation responses are due by 28 February 2018 via the designated email address.

The Central Bank of Bahrain issues this consultation to finalize the Liquidity Risk Management Module, mandating standardized calculations for the Liquidity Coverage Ratio and Net Stable Funding Ratio across standalone and consolidated banking entities. The framework adjusts run-off rates and available stable funding factors to reflect regional deposit behaviors, aligns reporting deadlines for monthly LCR and quarterly NSFR submissions, and clarifies intraday liquidity monitoring and stress testing requirements. By accommodating GCC market characteristics while maintaining Basel III alignment, the module ensures proportional implementation for commercial banks and foreign branches through tailored IT system enhancements and consistent terminology.

The Central Bank of Bahrain has issued a consultation letter proposing new regulations for short selling and securities lending to enhance capital market efficiency, price discovery, and liquidity. The draft framework standardizes operational procedures for executing short sales and lending transactions, thereby facilitating diverse market activities while mitigating associated risks. All CBB licensees, listed companies, and regulatory bodies must submit their written feedback electronically to the Capital Markets Supervision Directorate by 20 February 2018.

The Central Bank of Bahrain requests feedback from licensees, listed companies, law firms, and audit firms on its Draft Insolvency Law. The proposed legislation, currently reviewed by the Legislation and Legal Opinion Commission, is published on the regulator’s website for public input. Submissions must be sent electronically in an editable format to consultation@cbb.gov.bh by 30 January 2018.

The Central Bank of Bahrain (CBB) issued this consultation to gather industry feedback on documents preferred for English notarization under Law No. 37 of 2017, which amends the 1971 Notarization Law. The amended law authorizes the Minister of Justice and Islamic Affairs to license private notaries, establishes their qualifications and operational framework, and mandates that official documents be notarized in Arabic unless an interpreter is used. Licensees, audit firms, and law firms are required to submit their electronic responses by 21 November 2017 to inform the forthcoming ministerial resolution.

The Central Bank of Bahrain issues Module HC to establish binding high-level corporate governance standards for ancillary service provider licensees, including payment and card processing entities. The directive mandates effective board composition, independent oversight, strict conflict-of-interest management for approved persons, and robust financial reporting alongside a mandatory "comply or explain" framework. Licensees must achieve full compliance by the end of the 2017 financial year, with ongoing annual shareholder reporting and CBB enforcement ensuring sustained adherence to these governance controls.

The Capital Markets Authority (CBB) of Bahrain proposes amendments to the Offering of Securities Module in Volume 6, requiring licensed banks and issuers to establish a trust under Bahrain Trusts Law 2006 to hold employee share securities. The rule changes clarify initial public offering requirements by mandating underwriting for equity listings on local exchanges, while introducing specific disclosure obligations for book-building outcomes in prospectuses. Industry feedback regarding administrative burdens and confidentiality is addressed by affirming that the trust structure effectively ring-fences employee shares from creditor claims without compromising existing remuneration governance.

The Kingdom of Bahrain has enacted the 2017 Secured Transactions Law to establish a comprehensive legal framework for creating, perfecting, and enforcing security rights over movable assets. The legislation standardizes the creation of security agreements through written documentation, defines precise scopes for encumbered assets and secured obligations, and mandates registration-based perfection against third parties while recognizing possession as an alternative method. By prioritizing party autonomy, aligning with UNCITRAL standards, and clarifying priority rules for proceeds, mixed assets, and future interests, the Law significantly enhances credit availability and commercial certainty for financial institutions and businesses.

The Central Bank of Bahrain proposes a new Section HC-6.5 to the High Level Controls Module, establishing updated internal audit rules for all licensed banks in the Kingdom. The regulator invites bank licensees, audit firms, and law firms to submit written or nil comments electronically regarding these proposed amendments. Submissions must be directed to the designated consultation email address by 17 August 2017.

The Central Bank of Bahrain proposes amendments to Module LR requiring foreign retail banks in the Kingdom to maintain a minimum capital of BD 20 million, inclusive of reserves and retained earnings, within five years ending December 31, 2021. Industry participants argue the fixed threshold is challenging for mid-sized and niche branches, recommending flexible compliance timelines, alternative capital classifications like dotation capital, and the retention of earnings in both BHD and USD. The regulator maintains that the requirement aligns with GCC regulatory harmonization and Basel III standards, while committing to regular assessments of branch capital levels.

The Central Bank of Bahrain issues Module OFS to regulate the issuance and offering of securities within its jurisdiction. The rule establishes comprehensive eligibility criteria for equity, debt, asset-backed, and Islamic securities while outlining specific permission requirements and offering methods such as public offerings and private placements. It further mandates filing procedures for offshore offers marketed domestically, defines exemptions for equity crowdfunding through licensed platforms, and imposes strict compliance standards on structured products and their advisors.

The Central Bank of Bahrain (CBB) has issued a consultation on its Proposed Regulatory Sandbox Framework to foster FinTech innovation by allowing eligible startups and financial institutions to test new products under phased, flexible regulatory requirements. The framework establishes a standard nine-month testing period with optional extensions, imposes a BD100 entry fee, and mandates structured oversight through designated liaison officers and tailored reporting. By relaxing specific rules on a case-by-case basis while maintaining consumer protection, cybersecurity standards, and intellectual property safeguards, the CBB aims to accelerate market-ready digital solutions without compromising financial system integrity.

The Central Bank of Bahrain (CBB) establishes a standardized methodology for calculating financial penalties imposed on licensees under Law 64 of 2006, ensuring penalties encourage compliance and reduce sector risk. Fine amounts are primarily benchmarked against the licensee’s gain, benefit, or cost avoidance from a violation, subject to a BD 100,000 cap and mandatory full customer compensation. When gains are unquantifiable, the CBB applies a three-tier risk rating table to determine fines ranging from BD 1,000 to BD 100,000, while doubling penalties for repeated violations and retaining discretion to reassess approved persons.

The Capital Markets Authority of Bahrain has issued regulations establishing licensing and operational standards for Shari’ah-compliant Financing-Based Crowdfunding platforms. These rules require licensed P2B operators to arrange Shariah-approved deals, maintain independent Shari’ah scholar oversight, and enforce strict investment thresholds limiting fundraisers to BD 50,000 annually and investors to 10% of their net assets. The framework further mandates minimum capital reserves, robust consumer protection measures, and comprehensive anti-money laundering procedures to ensure platform stability and investor confidence.

The regulator proposes adding defined terms to the glossary of Volume 1 for conventional bank licensees. These amendments establish precise meanings for "client", "Designated Bank", and "Eligible Third Party" to support the Client Assets module. By clarifying these relationships, the rules ensure that client funds are properly consented to and held through approved exchanges, clearing houses, or intermediate brokers.

The Central Bank of Bahrain proposes amendments to its Credit Risk Management Module by adding paragraphs CM-5.5.11A and CM-4.4.13B to strengthen the monitoring of large exposures for licensed banks. All locally incorporated banks must submit their feedback, including nil responses, electronically to the regulator’s consultation email. Submissions are due by March 29, 2017, to finalize the regulatory updates.

The Central Bank of Bahrain issues updated rules and general principles governing takeovers, mergers, acquisitions, and share repurchases for companies listed on licensed Bahraini exchanges. The framework mandates equal treatment of all shareholders, requires timely and accurate disclosure of offers, and obligates directors to act in shareholders' best interests while maintaining confidentiality. It defines the scope of application, outlines specific exemptions and compliance responsibilities for offerors and offerees, and establishes clear penalties for breaches of the module.

The Central Bank of Bahrain has issued a consultation notice proposing a new Netting Law to replace Resolution No. 44 of 2014 governing close-out netting under market contracts. The proposed legislation will supersede existing regulatory provisions and is currently available for public review on the regulator’s website. All licensed banks are required to submit their electronic feedback, including nil responses, directly to the designated consultation email by February 16, 2017.

The Central Bank of Bahrain has issued a consultation paper establishing regulatory procedures for investment firms to transfer their business within the Kingdom under Article 68 of the CBB Law. This draft resolution defines the required application processes and compliance standards for licensees, auditing firms, and law firms executing business transfers. Firms must submit written or electronic feedback, including nil responses, to the Financial Institutions Supervision Directorate by 26 January 2017.

The Central Bank of Bahrain proposes amendments to Module AU-1.2 of its Authorisation framework to authorize payment service providers to issue multi-purpose prepaid cards for point-of-sale, ATM, online, and remittance transactions. Licensees must cap individual account balances at BD200, limit total outstanding card values to 50% of core capital, secure a retail bank guarantee, ensure EMV compliance for plastic cards, and maintain PCI-DSS certification by December 2017. The regulatory changes also mandate periodic PCI audits, require accounts to be classified as dormant after three months of inactivity, and stipulate that payment settlements must be finalized within two business days.

The Central Bank of Bahrain mandates prior written approval for conventional banks making major acquisitions or investments equivalent to at least ten percent of their consolidated total capital. The revised Credit Risk Management Module clarifies that future ownership increases exceeding five percent of such exposures require regulatory consent, while capital revaluations trigger simple notification. Excess holdings beyond the single fifteen percent and aggregate sixty percent limits are automatically subject to an eight hundred percent risk weight, ensuring robust capital adequacy and supervisory oversight.

The Central Bank of Bahrain proposes amendments to its High-Level Controls Module by adding paragraphs HC-5.4.33A and HC-5.4.33B to Chapter HC-5 on remuneration for approved persons and material risk-takers. The regulatory body requires all licensed banks to review these proposed changes and submit their feedback, including nil responses, electronically. Submissions must be directed to consultation@cbb.gov.bh by 6 October 2016.

The Central Bank of Bahrain proposes amendments to Sections CM-7.1 and CM-6.1 to clarify prior approval and notification requirements for writing off exposures across conventional bank licensees. The revisions explicitly distinguish between locally incorporated Bahraini banks and foreign bank branches, narrowing certain notification thresholds to local entities while extending prior written approval scopes to all foreign branches operating in Bahrain. These adjustments streamline compliance by aligning write-off procedures with existing due diligence practices, utilizing the CBB register for approved persons and controllers without mandating rigid reporting frequencies or additional data fields.

The Central Bank of Bahrain requests licensees to submit comments on the Draft Unified GCC Law of Commerce by 11 August 2016. This proposed legislation will replace the existing 1987 Law of Commerce and contains specific provisions governing banking and financial institution operations. Electronic submissions, including nil responses, must be directed to the Head of Regulatory Policy to facilitate broader economic integration across GCC member states.

The Central Bank of Bahrain has issued a public consultation notice regarding the Islamic Financial Services Board’s exposure draft on stress testing for Institutions Offering Islamic Financial Services. All licensed Islamic banks must submit their written feedback electronically or by fax to the IFSB Secretariat no later than 21 June 2016. Each submission requires a concurrent electronic copy to be forwarded directly to the Central Bank of Bahrain for regulatory assessment.

The Central Bank of Bahrain has introduced new accessibility rules requiring all retail banks to provide tailored banking and financial services to customers with physical, sensory, or mental impairments. Financial institutions must verify disability status through official certificates, waive counter and ATM transaction fees alongside monthly account charges, and equip at least one specialized wheelchair-accessible ATM per ten machines with Braille and voice features. These mandates apply primarily to locally incorporated banks, with a nine-month transitional period allowing phased system upgrades and the implementation of priority service counters across designated branches.

The Central Bank of Bahrain mandates that financing companies provide specific documentation to obtain prior approval for new or expanded customer products. Required submissions encompass a detailed product description, sample term sheet, outsourcing arrangements, risk analyses, justified fee lists, and supporting contracts or promotional materials. Technology-driven and Shari’a-compliant products further necessitate independent IT risk evaluations, security protocols, supervisory board pronouncements, and optional technical demonstrations.

The Central Bank of Bahrain proposes amendments to Module BC of its Rulebook that require retail banks to obtain prior written approval, rather than simple notification, before introducing new or expanded customer products and facilities. The revised framework introduces a detailed appendix specifying required submission information, establishes an early 'in-principle' confirmation process for complex product developments, and mandates a twenty-business-day response period once complete documentation is received. Retail banks must confirm compliance with any conditional requirements in writing before the regulator issues final approval, with consultation feedback due by 12 June 2016.

The Central Bank of Bahrain has issued a consultation paper proposing a new real estate development law to replace Law No. 28 of 2014. All retail banks must electronically submit their formal comments, including nil responses, by 11 May 2016. The complete draft legislation will be made publicly accessible on the regulator’s website immediately following this circular.

The Central Bank of Bahrain finalized amendments requiring Islamic retail and wholesale licensees to disclose comprehensive capital composition, securitisation exposures, and market risk metrics. The updated Module PD clarifies disclosure placement between websites and annual reports, mandates soft-copy submissions with a four-month deadline, and standardizes definitions for approved persons and sponsors. The framework also removes redundant exemption clauses while aligning comprehensive income statements with AAOIFI and IFRS reporting standards.

The Central Bank of Bahrain published this consultation to finalize high-level control requirements for money changers based on industry feedback. The regulator confirmed that board appointment, conflict of interest, and meeting attendance rules apply uniformly to existing directors, approved persons, and family businesses without imposing heavy establishment costs. The updated module clarifies senior management duties, corrects cross-referencing errors, and mandates written financial statement accountability from the CEO or General Manager alongside the chief financial officer.

The Central Bank of Bahrain proposes amendments to its 2014 remuneration rules to clarify that a substantial variable proportion exceeds 40% and permits alternative arrangements for existing contracts with lower variable pay. The updated requirements apply exclusively to new employment contracts while grandfathering pre-January 2014 agreements, though they extend to promoted staff within the same institution. Banks must submit their feedback electronically by April 3, 2016.

The Central Bank of Bahrain issued this consultation paper to finalize the regulatory framework for Ancillary Service Providers under Rulebook Volume 5, clarifying definitions and operational requirements for third-party administrators, card processors, credit reference bureaus, and payment service providers. Industry feedback prompted amendments that expand TPA services beyond healthcare to include motor and self-insured schemes, introduce grandfathering provisions for existing licensees, and refine payment service provider activities to prohibit deposit-taking while mandating separate escrow accounts. The updated rules establish a unified licensing title for all ancillary entities, delineate resident versus non-resident service scopes, and standardize commission deductions and contractual obligations to reduce operational conflicts.

The Central Bank of Bahrain (CBB) has issued a draft of the proposed Trusts Law for public consultation. This proposed law aims to enhance the current Financial Trusts Law of 2006 by incorporating local, regional, and international trust law standards. The CBB invites comments from all banks, investment firms, trust service providers, fund administrators, auditing firms, and law firms, to be submitted electronically by March 13, 2016.

The Central Bank of Bahrain has proposed amendments to paragraph CM-7.1.3 requiring financial institutions to obtain prior written approval or a written no-objection before writing off specific credit exposures. The revised rules restrict the requirement to current approved persons of each bank, remove obligations for exposures tied to other licensees' controllers, and clarify procedures for social loans and consumer facilities. These changes eliminate the minimum materiality threshold to ensure all exposures linked to approved persons, controllers, or connected counterparties are assessed for credit-worthiness regardless of their value.

The Central Bank of Bahrain issued this consultation to finalize proposed amendments to Module FC Volume 3 governing anti-money laundering and counter-terrorist financing obligations for insurance licensees. The regulator addresses industry feedback by upholding FATF mandates on general insurance scope, customer due diligence, payment method matching, and Politically Exposed Persons screening while allowing simplified procedures for low-premium transactions. Licensees must implement firm-specific annual risk assessments, verify KYC data through public registers, and maintain ongoing transaction scrutiny to ensure full regulatory compliance.

The Central Bank of Bahrain (CBB) has issued a consultation notice regarding its proposed Memorandum of Understanding with the Council on Alternative Investment Fund Managers (AIFMD) to secure membership in the European Securities and Markets Authority (ESMA). The agreement establishes formal consultation, cooperation, and information exchange protocols for supervising AIFMD entities across jurisdictions. Regulated banks and investment firms must submit their written feedback electronically to designated CBB officials by 3 September 2015.

The Central Bank of Bahrain (CBB) issues updated requirements for Module BC, mandating that Islamic bank licensees align their customer and stakeholder conduct with IFSB Guiding Principles. The revisions clarify key terminology, replace "loan" and "lottery" with "financing" and "raffle", and enforce strict due diligence, full commission disclosure, and standardized client charters. Furthermore, the CBB adjusts rules governing debt restructuring, cooling-off periods, and foreign subsidiary compliance to ensure fair client treatment while maintaining cross-module regulatory consistency.

The Central Bank of Bahrain requires financial institutions to submit a standardized list detailing all outsourced services that process customer information. The submission must specify the outsourcing type, provider location, contract expiration dates, and any third-party sub-outsourcing arrangements. This reporting framework enables the regulator to monitor operational risk exposure and ensure continuous compliance with data protection standards across the banking sector.

The Central Bank of Bahrain proposes amendments to the Operational Risk Management Module (OM) of its Rulebook Volume 5 to establish specific outsourcing rules for services containing customer information. All licensed financing companies must submit their feedback, including nil comments, on these proposed changes by June 30, 2015. Licensees are also required to complete and return the attached table detailing their current outsourced services containing customer data as of April 30, 2015.

The Central Bank of Bahrain issued Decision No. 27 of 2015, establishing a comprehensive regulatory framework governing control thresholds and approval procedures for investment companies and insurance licensees. The regulation mandates that applicants seeking direct or indirect ownership of 10% to over 40% of issued capital obtain prior supervisory approval, with specific caps and exemptions tailored to natural persons, unregulated legal entities, and regulated financial institutions. It further requires continuous reporting of controller ownership, establishes detailed eligibility criteria regarding financial soundness, conflict of interest, and regulatory compliance, and grants the Bank authority to impose conditions, reject applications, or enforce share transfers for non-compliance.

The Central Bank of Bahrain proposes amendments to Module HC (High Level Controls) for all Islamic bank licensees, aligning their regulatory framework with Basel Committee corporate governance and compliance standards alongside IFSB guidelines. Licensees must submit written comments, including nil responses, specifically addressing the newly highlighted text by June 4, 2015. The finalized amendments will be published on the CBB website following the consultation period.

The Central Bank of Bahrain issued Resolution No. 28 of 2014 to regulate the appointment and duties of Project Accountants overseeing real estate development projects. The Resolution mandates that authorized retail banks manage dedicated project accounts, requiring a 20% deposit of the estimated project value and stipulating strict conditions regarding fund segregation, reporting, and withdrawal approvals by consulting engineers. It further establishes a centralized database of accountants and projects, defines the roles of principal and sub-developers, and sets forth procedural requirements for account agreements, fee structures, and regulatory oversight.

The Central Bank of Bahrain issued Decision No. 23 of 2015 to establish the conditions and procedures for obtaining prior written approval for individuals appointed to controlled functions, including board members and executive officers, within regulated licensees. The regulation mandates that candidates meet specific qualifications and experience outlined in the Bank’s Guidance Manual, with applications submitted via an online form evaluated within fifteen working days. It further grants the Bank the authority to issue reasoned rejections and provides licensees or concerned parties a thirty-day window to file reasoned appeals with supporting documentation to the relevant Executive Director.

The Central Bank of Bahrain has issued the final amended Module PD to standardize Basel III capital disclosure requirements for all conventional bank licensees. Licensees must implement these additional public disclosures effective from their 30 June 2015 reporting results, with the changes formally integrated into Rulebook Volume 1. The finalized amendments and supporting appendices are publicly accessible on the regulator’s website alongside all material feedback comments.

The Central Bank of Bahrain issues a consultation on the Leverage Ratio and Gearing Requirements (Chapter CA-15), requiring all conventional bank licensees to complete a proposed compliance Form to assess regulatory impact. Banks must submit written feedback, including nil responses, electronically by 16 April 2015 to finalize the framework. The proposed chapter and testing form are publicly accessible on the regulator’s website for stakeholder review.

The Central Bank of Bahrain has restructured its prudential information returns (PIRI) to align with updated capital adequacy rules under Module CA. Locally incorporated Islamic banks must complete the revised form on a trial basis using December 2014 data and submit it by 11 February 2015 to validate internal capital calculations and test the new Section B pages. The finalized version will be published in the CBB Rulebook section in early 2015 following this consultation exercise.

The Central Bank of Bahrain has introduced a proposed regulation establishing the legal enforceability of close-out netting and qualified financial contracts for licensed banks. The framework overrides conflicting insolvency provisions, including the "Zero Hour Rule," to ensure payment system stability, protect collateral arrangements, and prevent liquidators from cherry-picking contracts during bankruptcy proceedings. By harmonizing netting rules with existing banking and payment legislation, the regulation provides licensed banks with immediate close-out rights and regulatory certainty for cross-border derivatives while remaining within Bahrain's jurisdictional scope.

The Central Bank of Bahrain issued this consultation document to finalize proposed amendments to its Financial Crime Module, incorporating industry feedback from conventional bank and investment firm licensees. The revised rules clarify key definitions for politically exposed persons, money and value transfer services, and qualifying wire transfers while adjusting compliance expectations for domestic and foreign beneficial owners. Licensees must now ensure their Money Laundering Reporting Officers maintain robust internal risk assessments, streamline enhanced due diligence for high-risk jurisdictions, and utilize the CBB’s online system for suspicious transaction reporting.

The Central Bank of Bahrain has restructured its prudential information returns to align with Module CA changes and requires all locally incorporated conventional banks to complete the revised form on a trial basis. Banks must use June 2014 data to validate internal pro-forma capital adequacy calculations under the Basel III regime, testing new pages in Sections B, C5, and C6 before formal reporting begins for the quarter ending 31 March 2015. Completed Excel forms must be submitted via email to the CBB by 15 November 2014, after which the finalized version will be published in the bank's Rulebook.

The Central Bank of Bahrain has proposed expanding prior approval requirements to mandate that all non-captive insurance licensees obtain written regulatory consent for related party transactions valued at or exceeding 10% of their respective capital, net assets, or shareholder equity. The amendment introduces rule BR-2.3.22, which standardizes threshold calculations across insurance firms, brokers, and other licensees while excluding captive insurers from the new mandate. Licensees must submit their feedback, including nil responses, electronically to the regulator by 13 November 2014 ahead of finalizing the consultation.

The Central Bank of Bahrain addresses industry stakeholder feedback on its proposed Protected Cell Companies Law by clarifying key definitions, regulatory procedures, and asset segregation requirements. The regulator confirms that detailed operational rules, including registration processes, consent mechanisms, and appeal procedures, will be established through implementing regulations rather than the primary legislation. This framework enables existing and newly incorporated Bahraini entities to operate as Protected Cell Companies for investment funds, insurance captives, and securitization while maintaining strict liability separation between core assets and individual cells.

The Central Bank of Bahrain has proposed a new Client Assets Module to its conventional and Islamic bank rulebooks to prevent the commingling of client funds with institutional assets. The module mandates strict segregation and protection measures for client assets across all licensed banking entities. Banks and audit firms must submit their written feedback, including nil responses, electronically to designated policy directors by September 11, 2014.

The Central Bank of Bahrain issues capital adequacy rules requiring all licensed Islamic banks to maintain minimum solo and consolidated Capital Adequacy Ratios against credit, market, and operational risks. The January 2015 implementation introduces Basel III transitional arrangements that phase in stricter capital buffers and regulatory deductions by 2019 while accommodating Profit Sharing Investment Accounts through specific risk-weighted asset adjustments. These requirements ensure sufficient capital buffers to absorb unexpected losses and protect depositors across varying risk profiles.

The Central Bank of Bahrain proposes amendments to Module PCD Chapter 4 requiring Islamic retail banks to secure Shari’a Supervisory Board approval prior to establishing or utilizing Special Purpose Vehicles. The updated framework restricts SPVs from obtaining conventional financing without prior Shari’a consent and mandates the replacement of existing conventional borrowings with Islamic financing within twelve months. Furthermore, banks must submit quarterly management accounts and annual audited financial statements for consolidated SPVs while obtaining prior regulatory approval for any material changes to capital, ownership, or control.

The Central Bank of Bahrain issues this consultation on its Draft Rulebook Module CA to establish revised capital adequacy requirements and buffer thresholds for conventional and Islamic banks. The framework sets minimum ratios for Common Equity Tier 1, Additional Tier 1, and Total Capital while clarifying solo versus consolidated calculations, minority interest treatment, and Sharia-compliant instruments. Implementation commences in January 2015 under a phased timetable that incorporates transitional arrangements for regulatory deductions, capital conservation buffers, and Domestic Systemically Important Bank requirements.

The Central Bank of Bahrain issued this consultation document to finalize enhanced operational and solvency requirements for Takaful and Retakaful insurance companies. The framework mandates adequate pricing for motor and medical lines, clarifies Wakala fee structures and performance fee restrictions, and standardizes solvency calculations by combining shareholders’ and policyholders’ funds while addressing Qard Hassan treatment. Industry feedback on risk management functions, actuarial reporting, and receivables admissibility was reviewed, leading to confirmed rules that require full compliance by December 2014 through a phased implementation approach.

The Central Bank of Bahrain (CBB) mandates that conventional and Islamic bank licensees secure prior written approval before dismissing or suspending personnel within designated control functions, including internal audit, risk management, AML, compliance, and Shari’a review. Incorporating industry feedback, the finalized rule extends this approval requirement to all staff in these departments rather than limiting it to senior heads, while establishing a ten-day response window that treats CBB silence as consent and permits immediate suspensions. This regulatory amendment strengthens corporate governance by preserving the Board’s dismissal authority and protecting employee independence, while ensuring banks maintain operational flexibility to address performance issues or policy breaches without undue regulatory delay.

The Central Bank of Bahrain (CBB) updates its Module CA framework by introducing standardized glossary definitions for Volumes 1 and 2. These amendments explicitly define affiliate relationships, credit risk, market risk, operational risk, and securities financing transactions to clarify capital treatment for on- and off-balance sheet exposures. The revised terminology ensures consistent risk assessment for interest rate, equity, foreign exchange, and commodity positions across both trading and banking books.

The Central Bank of Bahrain has published industry comments on its proposed Investment Limited Partnerships Law, introducing a new legal structure for Collective Investment Undertakings. The framework defines the liability, capital commitments, and management authority of general and limited partners while allowing existing Category 1 and 2 investment companies to act as general partners without establishing separate licensed entities. Regulatory responses to stakeholder feedback finalize key operational requirements, including partnership agreement filings, registered office locations, naming restrictions, and insolvency procedures.

The Central Bank of Bahrain establishes comprehensive regulatory requirements for Special Murabaha Financing contracts, mandating that banks offer these instruments exclusively to accredited investors through a dedicated special purpose vehicle with strictly segregated assets. The framework requires prior CBB approval, mandatory Shari'a supervisory board endorsement, and detailed pre-contract disclosures outlining risks, fees, and contractual rights in both English and Arabic. Additionally, banks must deliver biannual statements to investors and the regulator that track cash flows, asset valuations, and net profit or loss.

The Central Bank of Bahrain has issued a consultation notice regarding its draft Securitisation Law, which establishes comprehensive regulatory requirements for securitization transactions and securities issuance activities within the Kingdom. The directive mandates feedback from listed companies, capital market advisory providers, auditors, and law firms to refine the proposed framework before enactment. Stakeholders must submit their formal responses, including nil comments, electronically through the CBB website by April 16, 2014.

The Central Bank of Bahrain issued industry feedback on its Offering of Securities Module consultation paper to refine regulatory requirements for issuing and offering securities in Bahrain. The revised framework clarifies key definitions, adjusts private placement rules regarding special purpose vehicles and investor thresholds, and maintains pre-emptive rights while aligning with international standards. These changes aim to enhance market transparency, reduce compliance burdens for licensees and foreign issuers, and strengthen investor protection within Bahrain’s capital markets.

The Central Bank of Bahrain has issued final remuneration rules for all licensed banks, mandating risk-aligned compensation frameworks that integrate fixed and variable pay components, mandatory deferral periods, claw-back provisions, and a BD100,000 salary floor. Licensees must conduct gap analyses and implement phased compliance measures while retaining the flexibility to tailor incentive structures to their specific risk profiles and business models. Industry feedback prompted the regulator to clarify key definitions, introduce transitional arrangements, and align domestic requirements with international Basel Committee standards without imposing a rigid one-size-fits-all approach.

The Central Bank of Bahrain issued this feedback statement to finalize regulatory requirements for licensed Microfinance Institutions, addressing industry comments on capital maintenance, deposit-taking permissions, and loan limit adjustments. The revised modules mandate a minimum paid-up capital of BD five million, authorize MFIs to accept deposits through trust accounts within the payments system, and increase maximum microcredit amounts to BD fifteen thousand for eligible low-income individuals and small enterprises. Furthermore, the framework standardizes Annual Percentage Rate disclosures for credit agreements, clarifies net liquid asset and non-performing facility calculations, and requires all MFIs to submit semi-annual financial statements within two months of the reporting period.

The Central Bank of Bahrain issued this draft Module TC to establish mandatory training and competency standards for financing company licensees regarding individuals in controlled functions. The module requires a minimum of 15 annual continuing professional development hours, five-year retention of training and recruitment records, and strict application of the qualifications and experience criteria in Appendix TC-1. Incorporating industry feedback, the regulator confirmed these obligations extend to board members and non-employees while preserving discretionary approval authority for candidates who demonstrate overall fitness.

The Central Bank of Bahrain issues the Training and Competency Module for Islamic wholesale banks, mandating that individuals in controlled functions meet specific qualification and experience criteria while grandfathering existing appointees. The framework requires all designated staff to complete a minimum of 15 hours of annual Continuous Professional Development, which can be fulfilled through conferences, workshops, or internal training. Additionally, the module clarifies role definitions for board members and functional heads, permits electronic record-keeping to reduce administrative burdens, and aligns controlled functions with broader licensing requirements.

The CBB amends the due date for CIU and PIU annual fees from January 2nd to January 15th. Effective for the 2014 financial year and thereafter, this adjustment accommodates public holidays, aligns accounting expense recognition with the current year, and provides operators with a two-week compliance window. Industry feedback confirms the revision, mandating that the BD2,000 fee be settled by the 15th January of each relevant year.

The Central Bank of Bahrain proposes revisions to Module CM governing the credit grading and classification system, requiring all banks, financing companies, and audit firms to submit feedback by 11 July 2013. Respondents must complete a quantitative impact study form to help the regulator measure the financial effects of the updated provisioning requirements. The finalized consultation documents and impact study templates will be published on the CBB website for public access prior to implementation.

The Central Bank of Bahrain issued a consultation circular proposing a directive that enhances current regulatory requirements for bank internal audit functions. Aligned with the Basel Committee’s 2012 framework, the directive incorporates twenty supervisory principles and crisis lessons while clarifying audit committee responsibilities. Banks must ensure internal auditors comply with national and international professional standards, prioritize prudential considerations in audit practices, and submit written feedback by 5 May 2013.

The Central Bank of Bahrain (CBB) issued draft common modules and industry feedback responses establishing comprehensive customer due diligence, reporting, and transaction monitoring standards for Trust Service Providers. The regulations mandate detailed customer identification records, clarify the distinction between customers and counterparties, and standardize document certification by recognizing Jersey and Guernsey as FATF-equivalent jurisdictions. Furthermore, the CBB enforces a strict 20% shareholder verification threshold, permits simplified due diligence for specific financial institutions and GCC-listed companies, and clarifies that automated transaction monitoring primarily applies at the bank level for non-fund-handling TSPs.

The Central Bank of Bahrain issued this consultation paper to finalize draft General Requirements and Capital Adequacy modules for Financing Companies Licensees, incorporating industry feedback on record retention, controller reporting, and core capital definitions. The revised modules mandate a minimum 20% gearing ratio, require licensees to maintain comprehensive books and records for at least five years, and specify precise calculation methods for core capital including fair value reserves and interim profits. Licensees must promptly notify the CBB of any gearing ratio non-compliance, submit detailed controller and close-links reports within three months of year-end, and apply these standardized rules prospectively once the Volume 5 rulebook is published.

The Central Bank of Bahrain issued this feedback document to address industry comments on draft regulations for financing company licensees across Modules AU, BR, and HC. The revised framework clarifies corporate naming flexibility, mandates Bahrain residency for most controlled functions, requires monthly connected party exposure reports and timely audited financial statements under IFRS or AAOIFI standards, and enforces a 10-business-day notification period for new promotional schemes. Additionally, the regulator updated board directorship limits to apply specifically within Bahrain, aligned independent director requirements, and confirmed consolidated supervision obligations while accommodating regional group structures.

The Central Bank of Bahrain has introduced a new Risk Management Module requiring Islamic bank licensees to adopt a comprehensive, enterprise-wide risk framework that covers credit, market, liquidity, equity, rate of return, and operational risks. The regulation mandates strict governance oversight, stress testing for unrestricted investment accounts, and clear counterparty limits while harmonizing terminology with IFSB 2005 guidance and preparing for Basel III standards. It further consolidates existing risk modules, clarifies mandatory versus suggestive rules, and establishes defined Sharia compliance protocols to ensure consistent risk ownership across all institutional levels.

The Central Bank of Bahrain issued a proposed directive requiring retail banks and financing companies to publicly disclose interest rates, profit rates, fees, and charges for credit facilities through conspicuous notices. The framework standardizes calculation scenarios, clarifies Islamic Sharia compliance regarding fee-based versus profit-rate products and top-up mechanisms, and mandates clear communication of late payment charges and relevant risks. By aligning domestic rules with international best practices, the directive enables consumers to compare pricing across institutions while allowing banks to maintain risk-based pricing and service-quality differentiation.

The Central Bank of Bahrain issued revised operational risk regulations under Module OM-8 to align domestic banking standards with Basel II principles. The rules mandate board-level oversight of operational risk, clarify the distinct roles and independence requirements for internal audit and compliance functions, and require board-approved risk appetite statements alongside robust framework documentation. These revisions standardize risk definitions, mandate independent reviews of operational risk frameworks, and introduce cross-referenced guidelines to enhance transparency, benchmarking, and compensation alignment across Bahraini banks.

The Central Bank of Bahrain (CBB) issued proposed revisions to its Rulebook (Volumes 1 & 2) implementing enhanced Basel II capital and market risk requirements for conventional and Islamic bank licensees. The amendments clarify trading book classification policies, standardize stressed value-at-risk calculations using approved historical stress periods, and expand prudent valuation guidance to cover both trading and banking book positions. Additionally, the CBB mandates comprehensive due diligence for securitization exposures, enforces mandatory multiplication factors for specific risk capital charges under internal models, and requires weekly stress testing while maintaining a cost-benefit balance across standardized and internal rating-based approaches.

The Central Bank of Bahrain issued this document to address industry feedback on the revised Collective Investment Undertakings Module, clarifying fund classifications, valuation frequencies, and legal entity requirements. The regulator confirms targeted amendments to authorization timelines, annual fee structures for retail funds, and operator responsibilities while maintaining separate legal vehicle mandates to protect investor interests. These responses standardize definitions for retail, expert, and exempt funds, streamline exchange listing exemptions, and align accounting treatments with international guidelines to facilitate market development.

The Central Bank of Bahrain requires banks to restructure new profit-sharing arrangements as Collective Investment Undertakings rather than Restricted Investment Accounts, effective July 2012. Existing accounts may continue but cannot accept new funds unless they qualify for targeted exemptions covering short-term interbank placements, discretionary asset management, and employee savings schemes. This regulatory update strengthens investor protection and corporate governance while permitting banks to maintain their trustee or mudarib functions under the revised framework.

The Central Bank of Bahrain issued proposed regulations under Module CL to mandate strict segregation and timely handling of client premiums by insurance brokers and appointed representatives. The rules require funds to be deposited into designated accounts within one business day, prohibit brokers from deducting commissions directly from client balances, and clarify that retail banks merely hold funds while brokers retain compliance responsibility. Industry feedback prompted CBB to confirm a three-month transition period, validate the use of single client accounts with per-client record-keeping, and reinforce existing enforcement mechanisms to ensure market stability.

The Central Bank of Bahrain proposes amendments to Module CM of its Rulebook to standardize minimum provisioning levels for Non-Performing Loans and other credit facilities. The revised framework aligns with regional and international standards while maintaining consistency with existing credit classifications. Regulated entities must submit written feedback to designated policy directors by 15 March 2012 through the Bank’s official consultation portal.

The Islamic Financial Services Board has issued an exposure draft establishing twenty-eight guiding principles to standardize stress testing for Islamic banking institutions and their supervisory authorities. The framework requires institutions to incorporate Islamic-specific risk exposures, including Sharī`ah compliance and displaced commercial risk, into forward-looking stress testing models that complement existing international Basel standards. Supervisory authorities must conduct regular systemic evaluations, validate testing methodologies, and enforce corrective actions to safeguard financial stability against both conventional market downturns and unique Islamic finance vulnerabilities.

The Central Bank of Bahrain requires all local Islamic banks to review the Islamic Financial Services Board’s new exposure draft on liquidity risk principles. Institutions must submit their feedback by 25 December 2011 to enable the regulator to file a consolidated response before the IFSB’s January 2012 adoption deadline. Finalizing these guiding principles will mandate material adjustments to liquidity coverage, funding stability, and risk reporting frameworks across Bahrain’s banking sector.

The Central Bank of Bahrain mandates that insurance licensees implement standardized customer complaints procedures, requiring a senior, independent Complaints Officer to oversee internal handling processes. Licensees must acknowledge written complaints within one to five days, deliver substantive responses within one to two weeks, and retain detailed complaint records for five years. Additionally, the regulator requires quarterly reporting of complaint volumes and resolution status while exempting reinsurance companies that primarily serve wholesale market counterparties.

The Central Bank of Bahrain issued this document to consolidate industry feedback and finalize requirements for the High Level Controls Corporate Governance Module. It establishes a harmonized compliance framework for Capital Market Service Providers, clarifies scope exemptions for existing licensees, and elevates the comply or explain principle to a binding rule. The CBB also refines board composition standards, director definitions, and implementation timelines to ensure practical enforcement across diverse market participants.

The Central Bank of Bahrain finalizes licensing conditions for regulated services by integrating licensee feedback into Module LR, making the framework applicable primarily to new applications. The regulation clarifies eligibility for natural and legal persons, mandates ongoing compliance with capital, management, and audit standards, and explicitly permits letters of comfort alongside traditional guarantees. It further establishes a mandatory twenty percent ownership threshold for banking license applicants, streamlines documentation requirements, and exempts existing licensees from the revised ownership rules.

The Central Bank of Bahrain issued this feedback statement to address industry comments on proposed rules for Administrator Licensees under Volume 5 of the Administrators Rulebook. The regulator clarifies that banks holding licenses under Volumes 1 or 2 must comply with specialized administration requirements without obtaining a separate license, while permitting group-level professional indemnity insurance that explicitly covers the licensee. Furthermore, all administrators, including foreign branches and group entities, must maintain minimum liquidity reserves of BD40,000 or BD20,000 plus six months of estimated expenses.

The Central Bank of Bahrain (CBB) finalized prior approval thresholds for major acquisitions by locally incorporated conventional and Islamic banks, aligning domestic regulations with Basel Core Principle 5. The framework mandates CBB pre-approval for investments exceeding 10 percent of the acquiring bank’s capital or 20 percent of the target entity’s capital, while explicitly exempting temporary exposures, underwriting commitments, and collateral enforcement from strict qualifying holding rules. Implemented promptly for new investments with grandfathered existing holdings, the guidelines utilize post-deduction regulatory capital as the calculation base and establish a two-week CBB response window to prevent excessive risk concentration.

The Central Bank of Bahrain issued this feedback statement to finalize amendments requiring licensed conventional and Islamic banks to obtain prior regulatory approval for underwriting and temporary investment exposures exceeding the standard 15 percent single counterparty limit. The updated framework establishes a maximum ninety-day holding period, capping approved underwriting exposures at 30 percent and temporary investment exposures at 25 percent of each bank’s consolidated capital base. By eliminating imprudent blanket exemptions and mandating aggregated risk assessment alongside board-approved due diligence procedures, the rules ensure prudent capital management while maintaining competitive flexibility for large-scale securities and syndicated loan transactions.

The Central Bank of Bahrain (CBB) is integrating Basel Committee on Banking Supervision compensation principles and remuneration alignment methodologies into its regulatory framework. All licensed banks must submit electronic comments on these international standards to designated CBB policy directors by 13 January 2011. The collected feedback will directly inform proposed amendments to Volumes 1 and 2 of the CBB Rulebook governing bank compensation practices.

The Central Bank of Bahrain issued a feedback statement addressing industry comments on the Representative Offices Rulebook consultation. The revised framework amends service definitions to explicitly include wholly owned subsidiaries and mandates a ten-year retention period for corporate records while grandfathering historical non-English or Arabic documents. Furthermore, the regulator confirmed that licensees must submit their parent company annual report within six months of the financial year end to maintain compliance.

The Central Bank of Bahrain (CBB) issued this consultation feedback document to finalize requirements for its Anti-Money Laundering Module, which mandates Capital Market Service Providers and related entities to implement comprehensive money laundering and terrorist financing controls. Industry respondents largely endorse the proposed framework, noting its alignment with existing Financial Crime regulations while requesting clarifications on scope for Islamic banks, MLRO appointments, and Politically Exposed Persons. The CBB accepts these suggestions with minor adjustments, confirming that the new module supersedes prior resolutions and establishes clear compliance pathways for securities transactions without creating operational duplication.

The Central Bank of Bahrain issued this consultation paper to finalize draft regulatory modules for Money Changers by systematically addressing industry feedback on compliance obligations. The regulator maintains core requirements regarding internal audit functions, Money Laundering Reporting Officer seniority, and five-year record retention for financial crime transactions, while amending rules to accept certified copies and waive mandatory auditor reviews for quarterly prudential returns. Targeted adjustments clarify capital adequacy norms, branch authorization timelines, and operational standards, ensuring Money Changers remain compliant without incurring disproportionate costs.