CBB Rulebook

What is the CBB Rulebook?

The CBB Rulebook is the comprehensive regulatory framework issued by the Central Bank of Bahrain (CBB). It governs banks, insurance companies, investment firms, money changers, and other regulated entities operating in Bahrain’s financial sector.

The rulebook is divided into multiple volumes, each covering a specific category of financial services, and sets out requirements for governance, compliance, prudential supervision, AML, and consumer protection.

Why the CBB Rulebook Matters

The CBB Rulebook is critical because it:

  • Strengthens financial stability in Bahrain’s banking and insurance sectors

  • Protects consumers with transparency and fair treatment rules

  • Ensures AML/CFT compliance in line with FATF recommendations

  • Promotes corporate governance across regulated entities

  • Aligns Bahrain’s financial sector with international standards and best practices

Key Components of the CBB Rulebook

  1. Volume 1 – Conventional Banks – Licensing, prudential, and conduct rules for banks

  2. Volume 2 – Islamic Banks – Standards for Sharia-compliant banking activities

  3. Volume 3 – Insurance – Regulations for insurers, reinsurers, and intermediaries

  4. Volume 4 – Investment Firms – Rules for asset managers, brokers, and investment advisors

  5. Volume 5 – Specialized Licensees – Money changers, financing companies, and credit institutions

  6. Volume 6 – Capital Markets – Standards for securities, markets, and disclosure obligations

Example in Practice

A Bahraini investment firm must comply with the CBB Rulebook by:

  • Maintaining adequate capital in line with prudential requirements

  • Conducting AML checks and reporting suspicious transactions

  • Disclosing conflicts of interest to clients

  • Implementing governance structures with independent oversight committees

CBB Rulebook vs. Other Regional Frameworks

  • CBB Rulebook (Bahrain) – Detailed volume-based structure for all financial entities.

  • CMA Regulations (Saudi Arabia) – Primarily focused on capital markets and listed companies.

How VComply Can Help

VComply supports financial institutions in meeting CBB Rulebook requirements by:

  • Centralizing compliance across all six rulebook volumes

  • Automating monitoring of prudential, governance, and AML standards

  • Mapping regulatory obligations to internal policies and controls

  • Providing dashboards for real-time compliance status and audit readiness

  • Simplifying reporting to the Central Bank of Bahrain

With VComply, Bahraini banks, insurers, and investment firms can ensure compliance, strengthen governance, and improve regulatory oversight.