The Central Bank of Bahrain (CBB) is pushing a two-pronged digital agenda – focused on upgrading payment infrastructure and exploring a Central Bank Digital Currency (CBDC) – to safeguard the financial sector’s role as the economy’s largest contributor.
This was highlighted by CBB Governor Khalid Humaidan at the Gateway Gulf Forum 2025 where he spoke alongside Revolut chairman Martin Gilbert.
Mr Humaidan emphasised that digital transformation is unlocking new growth opportunities and creating high-value jobs within the financial services landscape. The sector is currently the largest contributor to Bahrain’s gross domestic product (GDP) and the leading recipient of foreign direct investment (FDI).
The CBB Governor cited Bahrain’s instant payment infrastructure as a key example of successful digitalisation, stating that the kingdom is now positioned among global leaders in the field.
The regulator’s current digital efforts are focused on two key areas: enhancing payment infrastructure for faster, safer interbank payments and exploring CBDC use cases to support the broader digital economy. Mr Humaidan added that the CBB is also committed to developing its supervisory technology (SupTech) to boost efficiency, transparency, and resilience.
Reaffirming the CBB’s dual mandate, the official stressed the need to balance innovation with financial stability to ensure both market growth and the safeguarding of the financial system.
avinash@gdnmedia.bh
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