Bank loan instalments will not be deferred beyond June 30, the Central Bank of Bahrain (CBB) has announced.
The CBB has gone with the recommendations of the Bahrain Association of Banks, it said in a circular signed by CBB Deputy Governor Shaikh Salman bin Isa Al Khalifa today and directed to all retail banks.
“The CBB notes and agrees to the recommendation of the Bahrain Association of Banks to discontinue the instalments deferral programme by June 30, 2022,” said the circular.
“The CBB continues to urge all licensees, to whom this circular is addressed, to assess customers’ needs for either rescheduling or restructuring existing facilities.
“We take this opportunity to reiterate our appreciation for your co-operation and assistance during the last two years.
“Should you have any questions on the above requirements, please do not hesitate to contact your supervisory point of contact at the CBB.”
In April, Parliament unanimously approved a proposal to defer all bank loan instalments until the end of the year for Bahrainis and local businesses and referred it to the Cabinet.
Loans were initially deferred in 2020, from March until August, without bank charges. They were deferred four more times under optional deals in which interest was calculated from August 2020 until June this year.
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