CM-6.1 CM-6.1 Reporting and Compliance
CM-6.1.1
The CBB's prior written consent must be obtained for any loan to an employee where the amount of such loan, either singly or when added to an existing loan(s) outstanding to that employee at that date, would be equal to or in excess of BD 100,000, or its equivalent in foreign currency. Banks must notify the CBB in writing of any senior employee who fails to discharge his repayment obligations.
Amended: April 2014
Amended: July 2011
Amended: January 2011
October 2007CM-6.1.1A
Where a bank seeks the CBB's prior approval as required under Paragraph CM-6.1.1, in its request, the bank must confirm that the employee loan is in line with the bank's board approved policy. The request must also confirm that the bank has made an internal assessment and evaluation when reaching the decision to grant the employee loan and that all necessary internal approvals have been obtained.
Added: April 2014CM-6.1.2
Banks must ensure that the provisions of relevant laws (including, specifically, the Bahrain Labour Law) are observed at all times in this area.
October 07
