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  • GR-1 GR-1 Books and Records

    • GR-1.1 GR-1.1 General Requirements

      • GR-1.1.1

        In accordance with Articles 59 of the CBB Law, all investment firm licensees must maintain books and records (whether in electronic or hard copy form) sufficient to produce financial statements and show a complete record of the business undertaken by a licensee. These records must be retained for at least ten years according to Article 60 of the CBB Law.

        Amended: July 2010
        Amended: July 2007

      • GR-1.1.2

        GR-1.1.1 includes accounts, books, files and other records (e.g. trial balance, general ledger, nostro/vostro statements, reconciliations, list of counterparties). It also includes records that substantiate the value of the assets, liabilities and off-balance sheet activities of the licensee (e.g. client activity files and valuation documentation).

        Amended: July 2007

      • GR-1.1.3

        Separately, Bahrain Law currently requires other transaction records to be retained for at least five years (see Ministerial Order No. 23 of 2002, Article 5(2), made pursuant to the Amiri Decree Law No. 4 of 2001).

        Amended: April 2013
        Added: July 2010

      • GR-1.1.4

        Unless otherwise agreed to by the CBB in writing, records must be kept in either English or Arabic. Any records kept in languages other than English or Arabic must be accompanied by a certified English or Arabic translation. Records must be kept current. The records must be sufficient to allow an audit of the licensee's business or an on-site examination of the licensee by the CBB.

        Amended: July 2010
        Amended: July 2007

      • GR-1.1.5

        Translations produced in compliance with Rule GR-1.1.4 may be undertaken in-house, by an employee or contractor of the licensee, providing they are certified by an appropriate officer of the licensee.

        Amended: July 2010
        Amended: July 2007

      • Location of Books and Records

        • GR-1.1.6

          Records must be accessible at any time from within the Kingdom of Bahrain, or as otherwise agreed with the CBB in writing.

          Amended: July 2010
          Amended: July 2007

        • GR-1.1.7

          Where older records have been archived, or in the case of records relating to overseas branches of Bahraini investment firm licensees, the CBB may accept that records be accessible within a reasonably short time frame (eg. within 5 business days), instead of immediately. The CBB may also agree similar arrangements for overseas investment firm licensees, as well as Bahraini investment firm licensees, where elements of record retention and management have been centralised in another group company, whether inside or outside of Bahrain.

          Amended: July 2010
          Amended: July 2007

        • GR-1.1.8

          Paragraphs GR-1.1.1 to GR-1.1.7 apply to Bahraini investment firm licensees, with respect to all its business activities. These requirements also apply to overseas investment firm licensees, but only with respect to the business booked in their branch in Bahrain.

          Amended: July 2010

    • GR-1.2 GR-1.2 Transaction Records

      • GR-1.2.1

        Investment firm licensees must keep completed transaction records for as long as they are relevant for the purposes for which they were made (with a minimum period in all cases of five years from the date when the transaction was terminated). Records of terminated transactions must be kept whether in hard copy or electronic format as per the Legislative Decree No. (54) of 2018 with respect to Electronic Transactions “The Electronic Communications and Transactions Law”and its amendments.

        Amended: January 2020
        Amended: July 2017
        Amended: July 2010
        Amended: January 2008

      • GR-1.2.2

        [This Paragraph has been deleted in July 2017].

        Deleted: July 2017

      • GR-1.2.3

        Rule GR-1.2.1 applies only to transactions relating to business booked in Bahrain by the licensee. It does not relate to transactions relating to business booked in overseas branches or subsidiaries of the licensee.

        Amended: July 2007

      • GR-1.2.4

        In the case of overseas investment firm licensees, Rule GR-1.2.1 therefore only applies to business booked in the Bahrain branch, not in the rest of the company.

    • GR-1.3 GR-1.3 Other Records

      • Corporate Records

        • GR-1.3.1

          Investment firm licensees must maintain the following records in original form or in hard copy at their premises in Bahrain:

          (a) Internal policies, procedures and operating manuals;
          (b) Corporate records, including minutes of shareholders', Directors' and management meetings;
          (c) Correspondence with the CBB and records relevant to monitoring compliance with CBB requirements;
          (d) Reports prepared by the investment firm licensee's internal and external auditors and compliance officer; and
          (e) Employee training manuals and records.
          Amended: January 2012
          Amended: July 2007

        • GR-1.3.2

          In the case of Bahraini investment firm licensees, these requirements apply to the licensee as a whole, including any overseas branches. In the case of overseas investment firm licensees, all the requirements of Chapter GR-1 are limited to the business booked in their branch in Bahrain and the records of that branch (see GR-1.1.7).

          Amended: July 2007

      • Customer Records

        • GR-1.3.3

          Record-keeping requirements with respect to customer records, including customer identification and due diligence records, are contained in Module FC (Financial Crime).