CBB welcomes top Bahrain rating

30/12/2010 00:00 AST

The Central Bank of Bahrain (CBB) has welcomed a new global vote of confidence for Bahrain's economic performance and management of the domestic economy. Fitch rating agency affirmed Bahrain's long-term foreign and local currency Issuer Default Ratings (IDRs) at 'A' and 'A+' respectively. The agency said Bahrain's outlook on the long-term IDRs was stable.

"The stable outlook reflects the continued resilience of the economy and the banking sector to the stresses from the global downturn and regional property markets over the last two years," said the agency's report.

"As the kingdom's central bank and regulator of Bahrain's international financial centre, the CBB welcomes global votes of confidence for Bahrain's continued economic success," said CBB Governor Rasheed Al Maraj. "

The government's commitment to economic and political reforms, complemented by sound fiscal management, has created a solid foundation for renewed economic growth."

Bahrain's economy is estimated to have grown by four per cent in 2010 compared with 3pc in 2009.

"Bahrain's economic buoyancy is due as much to the economic and structural reforms," said Mr Al Maraj.

"The country's financial services industry has been a major beneficiary and the largest contributor to GDP, the financial sector's contribution to GDP was 25pc in 2010.

"The CBB, on its part, will continue its robust, yet market-friendly regulation and supervision of the financial services industry, to support the government's economic initiatives, with the ultimate goal of maintaining Bahrain's position as the regional financial centre of choice," Mr Al Maraj added.

Gulf Daily News