Bahrain Implements The GCC Funds Passporting Regime

On 1 January 2025, the Central Bank of Bahrain ("CBB") (the sole regulator of the financial services sector in Bahrain) implemented the 'Cross-border Registration Regulation for Investment Funds' ("Funds Passporting Regime") pursuant to the 'Regulatory Framework for the Cross-Border Registration of Financial Products between the Regulatory Authorities Regulating GCC Capital Markets ("Regulatory Framework") that was issued in November 2022.

The Regulatory Framework aims to establish a coordinated regulatory approach among the Gulf Cooperation Council ("GCC") member states on passporting of financial products and serves as the legal basis for the individual passporting regulations issued under the Regulatory Framework for each type of financial product. The Funds Passporting Regime is the agreed upon standards and conditions for the registration and promotion of investment funds across the GCC member states. The Funds Passporting Regime aims to ensure that investment