Al Baraka, Dhaman Forge Global Pact

Bahrain trade finance gains muscle

Manama – Mahir Haneef, TDT – Al Baraka Islamic Bank and the Arab Investment and Export Credit Guarantee Corporation (Dhaman) signed a landmark agreement at Al Baraka’s Bahrain Bay headquarters on Sunday, highlighting Bahrain’s growing role in international trade finance.

Backed by Dhaman’s A+ credit rating from Standard & Poor’s, the deal aims to reduce cross-border risks while strengthening Bahraini companies’ ability to expand abroad. The agreement was signed by Al Baraka Islamic Bank CEO Dr. Adel Abdullah Salem and Dhaman Director General Rashed Ahmed Al Haroun, in the presence of senior executives and officials.

Expanding Partnerships
The agreement is part of Al Baraka’s broader strategy to enhance trade finance and broaden its international reach. By partnering with Dhaman, the bank will provide flexible financing solutions for importers, exporters, and corporate clients, with robust insurance coverage for cross-border deals.

Al Haroun emphasized that the partnership reflects Dhaman’s commitment to supporting financial institutions across the region. “We are proud of our partnership with Al Baraka Islamic Bank, a leading player in Bahrain’s Islamic banking sector. This agreement is part of our continuous efforts to support major financial institutions and encourage their expansion in trade activities,” he said.

Sustainable Growth
Dr. Salem noted that the collaboration demonstrates Al Baraka’s role in supporting Bahrain’s economic development. “Our cooperation with Dhaman reflects our commitment to sustainable economic growth by empowering clients to compete effectively in global markets. The partnership will diversify financing options, mitigate risks, and strengthen client confidence internationally,” he said.

Competitive Edge
Husain Yousif Atiya, Chief Corporate and Institutional Banking Officer at Al Baraka, highlighted that Dhaman’s backing would enhance the bank’s competitiveness. “With Dhaman’s strong credit rating and expertise, we can offer more competitive and innovative trade finance solutions. This empowers our corporate clients to expand locally and internationally with confidence and sustainability,” he said. He added that Dhaman’s network and risk management experience would accelerate transactions and provide Al Baraka clients with a global market advantage.

Regional Leader
Founded in 1974 in Kuwait, Dhaman is the first multilateral body for investment and export credit insurance in the Arab world. It has insured exports and investments worth USD 29 billion over more than 50 years and continues to support Arab trade and economic growth.

For Al Baraka, established in 1984, this deal marks another milestone in its Islamic banking innovation and growth. With Dhaman’s endorsement, Al Baraka Islamic Bank is positioning itself as a stronger partner for Bahraini businesses seeking international expansion.