CA-3.2 CA-3.2 Risk weighting — On balance sheet asset category
CA-3.2.1
Risk weights by category of on balance sheet asset are illustrated in the table below:
Risk weights Category of on balance sheet assets/claims 0% (a) Cash;
(b) Holdings of Gold bullion and coins;
(c) The government of Bahrain & Bahrain public sector entities;
(d) Government-owned GCC companies incorporated in Bahrain;
(e) Central governments and central banks of GCC and OECD countries; and
(f) Central governments and central banks of classified countries where denominated and funded in local currency.20% (a) Cash items in process of collection;
(b) Multilateral development banks;
(c) Banks and securities firms incorporated in Bahrain, other GCC and OECD countries;
(d) Banks incorporated in classified countries with a residual maturity less than 1 year;
(e) Public sector entities in GCC and OECD countries; and
(f) Government-owned GCC companies incorporated outside Bahrain.50% Mortgages backed by residential property 100% (a) Related parties
(b) Holdings of other banks' and securities firms' capital instruments
(c) Banks incorporated in classified countries with a residual maturity of over 1 year
(d) Central governments and central banks of classified countries (not included above)
(e) Public sector entities of classified countries
(f) Government-owned companies in non-GCC countries
(g) Private sector persons and entities in and outside Bahrain
(h) Istisna'a assets*
(i) Ijarah / Ijarah Muntahia Bittamleek assets
(j) Real estate investments
(k) Other assets not reported elsewhere*** This represents balance in Work in Progress/ cost account less billings. However, Istisna'a receivables should be reported against the risk weighting category of the counterparty.
** Salam Contracts are subject to market risk and should not be included here.
