Back Custom print Link Text Only Rich Text Print

  • BR-1.2 BR-1.2 Branches of foreign banks

    • BR-1.2.1

      The content of this section is applicable to branches (licensed by the Agency) of foreign banks.

    • Annual audited financial statements

      • BR-1.2.2

        All branches, referred to under paragraph BR-1.2.1, are required to submit to the Agency their annual audited financial statements of their Bahrain operations within 3 calendar months of the date of such statements. Such accounts must be prepared in a format agreed between the branch and its external auditors.

    • Supplementary information

      • BR-1.2.3

        In addition to the statements required in paragraph BR-1.2.2, branches are also required to submit to the Agency the following information:

        (a) the external auditors' management letter;
        (b) a list of non-performing and rescheduled loans (including name of customer, country, amount outstanding, net interest income for the year attributed to profit & loss and the reasons for attributing interest to income);
        (c) a reconciliation statement between the audited financial statements and the relevant prudential returns and monthly statistical returns;
        (d) the head office's annual audited financial statements; and
        (e) a statement of provisions as set out in paragraph BR-1.2.4, below.

    • Provisions against branch assets in head office books

      • BR-1.2.4

        If specific provisions against the assets of a branch are maintained in the books of its head office, the Agency should be advised on an annual basis and in writing (along with the information listed under paragraph BR-1.2.3) of the amount of provisions set aside for the Bahrain branch's bad debts (and any other non-performing assets). For detailed guidance related to this subject, see section CM-4.3.

    • Compliance

      • BR-1.2.5

        The annual accounts should be in full compliance with the International Accounting Standards.