Bahrain's Central Bank on
Wednesday said it adopted the International Bank Account Number
(IBAN), effective in the kingdom from January 2012, to speed up
the transaction processes of payments.
The IBAN, an international standard for the numbering of
bank customer accounts and accredited by the International
Organization for Standardization (ISO), would serve customers in
the kingdom starting from the end of January 2012, the central
bank said in a statement on the state news agency.
The move towards IBAN would express bank customer account
numbers in an ISO standard compliant format, the bank said on
the BNA website.
"The use of such an internationally accepted format will
immensely improve the efficiency of electronic payments and
bring a number of benefits to bank customers," it said.
"Banks will be able to process a transaction efficiently and
promptly through processing the IBAN of the recipient and will
allow the bank customers to make or receive their payments much
The number is a way of identifying a bank account which cuts
down errors and delays in international payments with a lower
risk of propagating transcription errors.
"The adoption of IBAN is a step to increase the efficiency
of electronic payments in Bahrain," said Ahmed Buhijji, Director
of the Banking Services Directorate at the Central Bank of
The IBAN was originally developed to facilitate cross-border
payments within the European Union, but the format is
increasingly applied globally.For all the latest banking and finance news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
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