Bahrain Monetary Agency inks preliminary agreement with Bahrain Financial Harbour

Launched under the auspices of the BMA, the BIIC project has received the approval of HH Shaikh Khalifa Bin Salman Al Khalifa, Prime Minister of the Kingdom of Bahrain and Chairman of the BMA Board. It has been conceived as the region's first world-class insurance market which will house a range of insurance-related businesses, both conventional and Islamic.

BIIC will have under its roof, insurance companies, reinsurance majors and providers of specialist insurance services, making it the single-largest composite development in the regional insurance industry.

Speaking at a press conference in Bahrain to mark the signing ceremony, HE Shaikh Ahmed bin Mohammed Al Khalifa, the Governor of BMA said: "Insurance services in Bahrain as well as in the region are a rapidly growing industry. BMA believes that by opening a composite facility - the Bahrain International Insurance Centre (BIIC) - we will be able to tap the potential of the industry to the fullest. We are confident that BIIC will be looked at by regional and global insurance industry players as an excellent and much-awaited hub with purpose-built facilities for their operations in the Middle East. Locating the BIIC within the BFH, a master-planned development, which has been conceived as a hub for the regional and international banking and finance sector, will further enhance its appeal."

He furher added: "BIIC is an integral component of BMA's vision for the insurance industry. We are also developing a comprehensive insurance regulatory framework in line with global best practices and transparent corporate governance norms."

The signing of the agreement between BFH and BMA signals the start of the exclusive project which will help Bahrain increase the contribution of the insurance industry to its GDP. The insurance industry currently contributes 2.6 per cent to the GDP and it is expected that this share will rise substantially in the coming years.

"BIIC will add to Bahrain's established status as the Financial Capital of the Middle East. On a broader front, the project will also complement the policy of the Government of Bahrain to attract inward investments into the country as part of its forward-looking and far reaching economic diversification drive," Shaikh Ahmed said.

Shaikh Ahmed further said that BIIC will catalyze the growth of Islamic insurance (Takaful and Re-Takaful) in the Kingdom and the region and develop specific industry segments like Bancassurance and captive insurance.

The announcement of launching the BIIC in the BFH will enhance the global and regional image of the global financial park which has evoked substantial interest among regional and global banking and financial industry players ever since its launch in 2002.

Commenting on the development, Mr. Esam Janahi, Chairman of BFH, said: "BMA's decision to house BIIC, an unparalleled development in the regional insurance industry, is a big endorsement to BFH. The BIIC is a world-class initiative that will set the benchmark for the regional insurance industry."

Mr. Janahi further said BIIC closely follows the concept of the Financial Mall, the engine of BFH, which will house the stock exchange and other capital markets, a clearing and settlement house, brokerage and trading firms and other financial retail facilities.

"BIIC will be in the close proximity of the Financial Mall which means that tenants in both entities can reap tremendous advantage from each other, and together it will be a big financial and banking business fraternity under one canopy," he added.

BIIC will provide a comprehensive insurance brokerage service environment within BFH. Within the 24/7 global financial and business park, BIIC will occupy a stand-alone 14-storey tower with a typical floor plate of 750 square metre and a total gross area of 10,500 square metre.

The lead consultants and architects for the BIIC building is Ahmed Janahi Architects (AJA), which is also involved in a similar capacity with the BFH development.

Mr. Ahmed Abubaker Janahi, Managing Director, AJA, said: "We have applied the distinctive design code of BFH, which stems from the heritage of Bahrain in a modern design envelope, offering a distinctive architectural atmosphere to the development. The BIIC building will be hi-tech including a high level IT installation to meet the BFH promise of instantly accessible data anywhere within the development."

The ground and first floor of BIIC will be developed as an atrium space lined with small outlets for insurance services, together with a coffee shop for informal meetings and relaxation. On the second floor there will be a conference and meeting room facility which could be used by all tenants of this futuristic development. The Bahrain Insurance Association will also have its offices in BIIC to provide statutory back-up to private insurers.