MANAMA, April 13 (Xinhua) -- Bahrain's central bank on Monday announced measures to support the economy and financial sector as regional conflict weighs on growth and financial stability.
The Central Bank of Bahrain said retail banks and financing companies will allow customers to defer loan installments and credit card payments, including principal and interest, for three months, the state-run Bahrain News Agency reported.
The deferral applies to individuals and businesses. Lenders can also delay reclassifying affected loans.
The central bank also cut reserve requirements to 3.5 percent from 5 percent and lowered the minimum Liquidity Coverage Ratio and Net Stable Funding Ratio to 80 percent from 100 percent to inject liquidity.
The central bank stressed that the financial sector remains stable, with strong capital and liquidity. It added that it stands ready to take further steps if needed.
The measures come amid rising regional tensions. The World Bank has cut Bahrain's 2026 growth forecast to about 1.3 percent from more than 3 percent.
