The consolidated balance sheet of the banking system in Bahrain, comprising retail and wholesale banks, stood at $201.1 billion at the end of September this year, up 1.3 per cent over the same time last year, said a report.

This was an increase of 4.6 per cent over the consolidated balance sheet of $192.2 billion at the end of June 2012, according to the latest issue of the Central Bank of Bahrain’s (CBB) quarterly bulletin.

Retail banks represented 35.8 per cent of the consolidated balance sheet at September-end 2012, with an aggregate balance sheet of BD27 billion ($71.8 billion). This was an increase of 3.9 per cent over a balance sheet of $69.1 billion at June-end 2012 and 7.6 per cent over September-end 2011.

According to CBB, the aggregate balance sheet of wholesale banks stood at $129.2 billion at September-end 2012. This was an increase of 5 per cent over a balance sheet of $123.1 billion at June-end 2012 and a decline of two per cent over the same time last year.

The total domestic assets of the banking industry totaled $47.3 billion at September-end, from $46.9 billion at June-end. Foreign assets increased by 5.8 per cent to $153.8 billion at September-end, from $145.3 billion at the half-year, the report stated.

The total domestic liabilities of the banking industry soared to $49.8 billion at September-end from $49.1 billion at June-end. Foreign liabilities amounted to $151.3 billion, compared to $143.1 billion, it added.

The CBB pointed out that Bahrain’s retail banking industry continued to post steady growth, both in its loan portfolio as well as assets, reflecting the healthy growth of the domestic economy.

The total assets/liabilities of retail banks grew by 3.8 per cent to hit BD27 billion at September-end, from BD26 billion at June-end, it said.

The domestic assets stood at BD14.8 billion, while foreign assets amounted to BD12.2 billion at September-end. Domestic liabilities stood at BD14.7 billion, while domestic liabilities amounted to BD12.3 billion.

The total deposits at retail banks stood at BD12.9 billion at September-end, an increase of 4.9 per cent over the June-end figure of BD12.3 billion.

Total outstanding loans and advances extended to residents by retail banks increased by 1.5 per cent to BD6.9 billion at September-end, from BD6.8 billion at June-end.

Of the total loans at September-end, 63.5 per cent were in the form of business lending, while the personal and government sectors accounted for 33.1 per cent and 3.1 per cent respectively, said the CBB report.

The sectoral distribution of the loans to business indicate that 25.4 per cent were extended to the construction and real estate sector, followed by 13.2 per cent to the trade sector and 11.8 per cent to ‘other’ sectors, which include the hospitality industry and the transportation sector, while the manufacturing industry received 8.1 per cent of the loans.

On the Islamic banking sector growth, CBB said the aggregate balance sheet of Bahrain’s Islamic banks (retail and wholesale) stood at $25.7 billion at September-end, compared to $25.6 billion at June-end.

The domestic assets stood at $12.8 billion at September-end, while foreign assets amounted to $12.9 billion, the report added.-TradeArabia News Service