Bahrain retail banking sector robust says BBK.

MANAMA: Bahrain's banking sector remains robust, particularly the core fields of retail and corporate banking.

That was the message from BBK chief executive Abdulkarim Bucheery as his bank announced its latest expansion plans.

The bank, which will open its fifth financial mall next month at Riffa, yesterday signed agreements with contractors for the construction of two new financial malls, which are expected to open next year.

It is investing more than BD900,000 in a financial mall at the junction of Gudaibiya Avenue and Exhibition Road and a BD1 million mall in the Isa Town shopping centre.

"The banking sector in Bahrain remains extremely healthy," he said.

"That is particularly the case in the core areas of retail and corporate banking, where we continue to service out customers. The banking sector in Bahrain will continue to focus on these core areas of the business."

He said that the banks in Bahrain had no problems with liquidity and that because of their prudence and the regulatory strength of the banking sector in the kingdom, banks were continuing to build their business in spite of the global economic downturn.

"As you can see from today's two contracts to build new financial malls we are continuing to expand," he said.

"Bahrain banks have not been hit with the liquidity crisis and indeed we intend to repay a $125m credit facility next month which is a reflection of the strength of our liquidity.

"We are comfortable with our level of liquidity and while we could easily have extended this credit facility, we took the view that at the present time to do so was the wrong time because borrowing is far too expensive and we do not need it."

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