The Bahrain bank’s liquidity, which ranges between $7 billion and $8 billion, should be directed to boost the Kingdom’s economy, said a senior banking official.
The government can rely on banking and private sectors to invest in and finance big development projects, before resorting to external borrowing, remarked National Bank of Bahrain chief executive Abdulrazzak Al Qassim.
Capital adequacy ratio of banks in Bahrain is estimated at 18 per cent, he said, noting that the minimum required level stipulated by the Central Bank of Bahrain is 12 per cent compared to the Basel Committee’s minimum ratio of 8 per cent. This means the financial position of Bahrain’s banks is very assuring, said Al Qassim.
The achievement of rapid economic growth in future requires a fundamental change in development policies at the planning and implementation stages, he said, calling for enhanced private sector role in project design and implementation.
He also urged ambitious programmes and innovative approaches to improve Bahrain’s competitiveness, reports Akhbar Al Khaleej.