Banks in Bahrain strong, says BAB

Manama : Bahrain’s banking sector remained strong during 2015 notwithstanding regional concerns about liquidity and falling oil prices, announced Bahrain Association of Banks (BAB) in its Annual  General Meeting yesterday. 

According to Chairman of BAB, Abdul Razak Al Oassim, “Bank credit continued to grow and liquidity in Bahrain’s banks stayed firm. Total bank credit grew by an annual 7 per cent at the end of Q3. Credit growth was fastest in the area of personal loans which rose by an annual 14pc of all banks lending for the period.”

The Annual General Assembly Meeting (AGM) of BAB was held at Le Meridian Bahrain. On review of the board’s report, the AGM approved year end results and financials for 2015. “Growth in bank deposits were moderate towards the end of the year. Private sector deposits, which represent the largest share of total deposits, grew by an annual 3pc at the end of Q3. The loan-to-deposit ratio in Bahrain reached 49pc for the same time frame. The past year was a time for communicating with our member to seek their views on the future of the Association and the beginning the process of implementing them and re-engineering the structure and the body of the organisation,”Al Qasim said.

Looking ahead, Al Qasim stressed that the association would try to bring all of Bahrain’s financial institutions under one banner, which includes Retail Banks, Wholesale Banks, Islamic Banks, Insurance Firms, Investment Companies and other financial bodies. 

“We shall be concentrating on three key activities: lobbying the Government and regulators as the voice of the industry, conducting research to both support our lobbying and to encourage innovation and growth in the banking and financial sector, and holding conferences that generate real debate and produce practical change,” he added.