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.