Bahrain Association of Banks (BAB) has declared its plans to initiate specialized training and awareness initiatives focused on the implementation of environmental, social, and corporate governance (ESG) requirements within banks and companies.
This initiative aligns with the recently issued directive by the Central Bank of Bahrain, mandating the incorporation of ESG requirements in the annual reports of listed and licensed companies, encompassing all financial and banking sector institutions.
These training programs are designed for companies listed on the Bahrain Bourse, as well as banks, finance companies, insurance companies, and investment firms licensed by the Central Bank of Bahrain. The implementation of these programs will be a collaborative effort between the Association, represented by the Sustainability Committee and the Human Resources Committee, and the Bahrain Institute of Banking and Finance (BIBF). Additionally, financial auditing firms will play a crucial role in educating employees across the financial sector on the principles of environmental, social, and corporate governance. The goal is to equip them with the requisite knowledge and skills, enabling them to effectively address environmental, social, and institutional requirements.
In a statement regarding this development, Dr. Waheed Al Qassim, the Chief Executive Officer of the Bahrain Association of Banks, emphasized the strategic significance of the Central Bank of Bahrain’s decision to enforce environmental, social, and corporate governance (ESG) requirements within banks and companies.
According to Dr. Al Qassim, this decision underscores the Kingdom of Bahrain’s remarkable achievement in aligning economic and social development goals while ensuring financial stability in line with the United Nations Sustainable Development Goals, particularly in fostering sustainability within the banking sector.
Dr. Al Qassim further stated that the forthcoming training programs, spearheaded by the Bahrain Association of Banks, are designed to elevate and enhance the skills of professionals within the financial sector concerning sustainability requirements. The aim is to empower them with the knowledge to conduct thorough due diligence, proficiently interpret, comprehend, and compile ESG reports. He underscored the pivotal role of these programs as a transformative stride toward establishing a sustainable financial market. Additionally, he emphasized their contribution to fostering transparency in the disclosure processes related to the sustainability performance of financial institutions and advancing corporate governance standards within the financial and banking sector.