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  • Disclosures Related to Counterparty Credit Risk (CCR)

    • PD-1.3.26

      All Bahraini Islamic bank licensees must make the following disclosures regarding counterparty credit risk:

      (a) The general qualitative disclosures (PD-1.3.21 and PD-1.3.22) with respect to CCR including:
      (i) Discussion of methodology used to assign capital and credit limits for counterparty credit exposures;
      (ii) Discussion of policies for securing collateral and establishing credit provisions; and
      (iii) Discussion of the impact of the amount of collateral the bank would have to provide if given a credit rating downgrade; and
      (b) Gross positive fair value of contracts, netting benefits, netted current credit exposures and collateral held (including type: e.g. cash, government securities, etc.). Also measures for exposure at default. The distribution of current credit exposure by type of credit exposure (e.g. FX contracts, equity contracts, commodity contracts, etc.).
      Amended: April 2016
      Amended April 2011
      Amended October 2010
      April 2008