CBB Updates Address Digital Asset and Open Banking Rules
The Central Bank of Bahrain (CBB) proposed amendments to the existing open banking-related regulations and has amended the digital assets framework to include virtual token offerings. CBB also revised the high-level controls module (Module HC) under Volumes 1 (for conventional banks) and 2 (for Islamic banks) of CBB Rulebook, along with the related amendments in CBB Reporting Requirements (BR), Operational Risk Management (OM), and Public Disclosure Requirements (PD) Modules. The newly added requirements in Module HC will be effective from October 01, 2023; thus CBB has requested all banks to provide the gap analysis and an action plan for implementation before May 31, 2023.
To further the CBB objective of continuing to widen the scope of customer-centric digital offerings in financial services, CBB proposed amendments to the existing regulations related to open banking regulations in the general requirements module (Module GR) under Volumes 1 and 2 of the CBB Rulebook for conventional and Islamic banks, respectively, and in the open banking module (Module OB) under Volume 5 of the CBB Rulebook for ancillary service providers. The feedback period for the consultation ends on April 02, 2023. Under the proposed amendments, banks need to provide access to information about their customers (who are legal persons, with their consent) to payment initiation service providers (PISPs) and account information service providers (AISPs). AISPs/PISPs are also required to develop and agree with banks the API specifications, customer onboarding, and related service and operational guidelines, which are also to be consistent with the security standards and guidelines in the Bahrain Open Banking Framework (BOBF).The amendments also address requirements on data required to be shared by banks and the nature of products and services that are subject to these requirements.
Related Links
- News on Regulatory Framework for Digital Tokens
- Circular on CBB Rulebook Revisions (PDF)
- Circular on Open Banking Consultation (PDF)
- General Requirement Module Volume 1 (PDF)
- General Requirement Module Volume 1 (PDF)
- Open Banking Module Volume 5 (PDF)
Keywords: Middle East and Africa, Bahrain, Banking, CBB Rulebook, Open Banking, Crypto Assets, Regtech, Digital Assets, Operational Risk, Basel, Islamic Banking, CBB
Featured Experts

María Cañamero
Skilled market researcher; growth strategist; successful go-to-market campaign developer

Nicolas Degruson
Works with financial institutions, regulatory experts, business analysts, product managers, and software engineers to drive regulatory solutions across the globe.

Patrycja Oleksza
Applies proficiency and knowledge to regulatory capital and reporting analysis and coordinates business and product strategies in the banking technology area
Previous Article
BOT Issues Guide on Financial Fraud, Extends Credit Support MeasuresRelated Articles
ISSB Sustainability Standards Expected to Become Global Baseline
The finalization of the two sustainability disclosure standards—IFRS S1 and IFRS S2—is expected to be a significant step forward in the harmonization of sustainability disclosures worldwide.
IOSCO, BIS, and FSB to Intensify Focus on Decentralized Finance
Decentralized finance (DeFi) is expected to increase in prominence, finding traction in use cases such as lending, trading, and investing, without the intermediation of traditional financial institutions.
BCBS Assesses NSFR and Large Exposures Rules in US
The Basel Committee on Banking Supervision (BCBS) published reports that assessed the overall implementation of the net stable funding ratio (NSFR) and the large exposures rules in the U.S.
Global Agencies Focus on ESG Data, Climate Litigation and Nature Risks
At the global level, supervisory efforts are increasingly focused on addressing climate risks via better quality data and innovative use of technologies such as generative artificial intelligence (AI) and blockchain.
ISSB Standards Shine Spotlight on Comparability of ESG Disclosures
The finalization of the IFRS sustainability disclosure standards in late June 2023 has brought to the forefront the themes of the harmonization of sustainability disclosures
EBA Issues Several Regulatory and Reporting Updates for Banks
The European Banking Authority (EBA) recently issued several regulatory publications impacting the banking sector.
BCBS Proposes to Revise Core Principles for Banking Supervision
The Basel Committee on Banking Supervision (BCBS) launched a consultation on revisions to the core principles for effective banking supervision, with the comment period ending on October 06, 2023.
US Proposes Final Basel Rules, Transition Period to Start in July 2025
The U.S. banking agencies (FDIC, FED, and OCC) recently proposed rules implementing the final Basel III reforms, also known as the Basel III Endgame.
FSB Report Outlines Next Steps for Climate Risk Roadmap
The Financial Stability Board (FSB) recently published the second annual progress report on the July 2021 roadmap to address climate-related financial risks.
EBA Plans on Ad-hoc ESG Data Collection and Climate Scenario Exercise
The recognition of climate change as a systemic risk to the global economy has further intensified regulatory and supervisory focus on monitoring of the environmental, social, and governance (ESG) risks.