Gulf Insider
Bahrain has moved to cushion households and businesses with a broad package of loan relief and liquidity support, aiming to keep credit flowing and ease repayment pressure during a period of economic strain. The Central Bank of Bahrain said retail banks and financing companies will offer customers the option to defer loan installments and credit card payments, covering both principal and interest, for a period of three months. The relief applies to individuals and corporates, giving borrowers temporary breathing space at a time when cash flow pressures remain elevated. Authorities framed the measures within a wider effort to support financial stability and sustain economic activity across sectors. Loan relief extended across sectors Banks have also been granted flexibility in how they treat affected loans during the deferral period. The move allows lenders to delay classification changes for customers who opt into the scheme, helping avoid an immediate rise in non-performing exposures across balance sheets. The scale of the domestic loan book highlights the reach of the programme, with total lending in Bahrain standing at around BHD11.3 billion. The relief therefore touches a significant portion of the economy, spanning retail borrowers, small businesses and larger corporates. Liquidity support expanded Alongside the […]
Go to News Site