Regulation No. (2) of 2022 issuing the Model Financial Regulation for Youth Empowerment Centres and Youth Bodies under the Supervision of the Ministry of Youth and Sports Affairs
Regulation No. (2) of 2022 issuing the Model Financial Regulation for Youth Empowerment Centres and Youth Bodies under the Supervision of the Ministry of Youth and Sports Affairs
Minister of Youth and Sports Affairs:
Having reviewed Legislative Decree No. (5) of 1983 amending Emiri Decree No. (2) of 1975 establishing a Supreme Council for Youth and Sports, as amended;
Law of Associations, Social and Cultural Clubs, Private Bodies Working in the Field of Youth and Sports and Private Institutions promulgated by the Legislative Decree No. (21) of 1989, as amended;
Labour Law for Sector promulgated by Law No. (36) of 2012, as amended;
Legislative Decree No. (21) of 2013 regarding the Regulation of General-Purpose Fund-raising and its Implementing Regulation promulgated by Decision No. (47) of 2014;
Legislative Decree No. (60) of 2013 designating the Competent Ministry and the Minister responsible for implementing Legislative Decree No. (21) of 2013 regarding the Regulation of General-Purpose Fund-Raising, as amended by Decree No. (8) of 2021;
And Decision No. (2) of 2018 regarding the Model Regulation of the Statute of Youth Empowerment Centres and Youth Bodies under the Supervision of the Ministry of Youth and Sports Affairs, as amended;
Hereby Decides:
Article One
The regulation attached to this Regulation shall be adopted as a model financial regulation for Youth Empowerment Centres and Youth Bodies under the supervision of the Ministry of Youth and Sports Affairs. These centres and organizations shall adhere to the provisions outlined in the attached regulation until specific financial regulations are issued for each of them.
Article Two
This Regulation shall be published in the Official Gazette and shall come into force from the day following the date of its publication.
Minister of Youth and Sports Affairs
Aymen bin Tawfeeq Almoayed
Issued on: 15 Rajab 1443 A.H.
Corresponding to: 16 February 2022
Model Financial Regulation for Youth Empowerment Centres and Youth Bodies under the Supervision of the Ministry of Youth and Sports Affairs
Chapter One
General Provisions
Article (1)
In applying the provisions of this Regulation, the following words and expressions shall have the meanings assigned to them below, unless the context requires otherwise:
Kingdom: The Kingdom of Bahrain.
Ministry: Ministry of Youth and Sport Affairs.
Law: The Law on Associations, Social and Cultural Clubs, and Private Bodies Operating in The Field of Youth, Sports and Private Institutions promulgated by Legislative Decree No. (21) of 1989.
Authority: Youth empowerment centres and youth bodies under the supervision of the Ministry and registered with it.
Board: Board of Directors of the Authority or whoever manages it.
President: President of the Board of Directors of the Authority or whoever manages it.
Secretary: Secretary of the Authority.
Financial Secretary: Financial Secretary of the Authority.
Worker: Whoever works for the Authority in return for a wage and under its management or supervision.
Temporary Loan: Amounts disbursed to obtain necessary requirements that have arisen during the fiscal year within a certain amount.
Permanent Loan: Financial amounts allocated for incidental expenses that shall be entrusted to the Secretary for expenditure on urgent daily purchases and services.
Article (2)
This regulation aims to determine the financial policies and procedures relating to the management of the authorities' of their funds and properties and the performance of their obligations, in particular the following:
1- Safeguarding the Authority's funds and properties.
2- Ensuring the recording of all financial data of the Authority.
3- Financial and accounting processing of all financial transactions of the Authority.
4- Organizing and monitoring the movement of the Authority's funds, from revenues and expenses.
5- Listing the financial obligations and commitments of the Authority.
6- Ensuring the implementation of the provisions of the law and model regulations of the Statute related to the financial aspects of the Authority.
7- Establishing guidelines to facilitate the approval of both the General Assembly of the Authority and the Ministry for the Board's financial aspects.
Article (3)
The Board shall establish a permanent financial committee responsible for the examination and organization of the financial aspects and matters outlined in this Regulation, whether composed of members from among Board members or Authority members. The formation of the committee may include experts from outside the Authority.
Chapter Two
Accounting Policies, Records and Financial Reports
Article (4)
The Authority shall record financial transactions in accounting records according to historical cost rule based on their occurrence date and in accordance with recognized accounting standards, which rely on the following accounting policies:
1- Revenues: These encompass allocations and subsidies determined by the Ministry, prizes from youth competitions, advertisements, enrolment fees and subscriptions, revenue from renting fields, halls and facilities, investment returns, donations, gifts, and endowments, as well as any other revenues calculated when due, all in compliance with the laws and regulations regarding obtaining Ministry approval for such revenues.
2- Expenditures: All expenditures, regardless of their type, calculated when due.
3- Capital Expenditures: Capital expenditures on immovable properties shall be charged at cost, deducting accumulated depreciation. Depreciation shall be calculated using the straight-line method at rates sufficient to allocate the cost of these assets over their expected productive life.
Immovable properties obtained through donations shall be recorded at their equivalent cost or at the Board's fair value estimation.
Article (5)
a- The basic documentary group consists of the following:
1- Receipt Voucher: The voucher used when receiving cash amounts or upon receiving a check or through direct bank transfer to the Authority's account. It shall be issued in three copies, with the first copy given to the client, the second copy attached to the receipt record, and the third copy retained in the Receipt Vouchers Register. It is a requirement for the receipt vouchers to be sequentially numbered and preprinted, in accordance with Form No. (1) attached to this Regulation.
2- Payment Voucher: The voucher used when disbursing amounts through issuing a check or through direct bank transfer from the Authority's account to the benefit a person or other entity. It shall be issued in two copies, with the first copy attached to the payment record, and the second copy retained in the Payment Vouchers Register. It is a requirement for the payment vouchers to be sequentially numbered and preprinted, in accordance with Form No. (2) attached to this Regulation.
3- Entry Voucher: The voucher in which any transaction not involving receipt or payment is recorded. It shall be issued in one copy, and it is a requirement for the entry vouchers to be sequentially numbered and preprinted, in accordance with Form No. (3) attached to this Regulation.
4- Purchase Request: A document representing an agreement with a supplier to purchase goods or services, containing details of the goods and services to be purchased. It is a requirement for the documents to be sequentially numbered and preprinted, in accordance with Form No. (4) attached to this Regulation.
5- Payroll Statement: A statement that includes details of salaries and deductions for employees of the Authority, in accordance with Form No. (5) attached to this Regulation.
6- Bank Reconciliation Statement: A statement prepared to reconcile the bank balance recorded in the Authority's books and records with the bank statement balance, in accordance with Form No. (6) attached to this Regulation.
7- Miscellaneous Disbursement Settlement Statement: A statement indicating the opening balance of the permanent loan and the received amount in addition to the details of expenditures, in accordance with Form No. (7) attached to this Regulation.
b- All documents shall be stored in a secure place, according to their sequential numbers.
c- The use of ink erasers, rubbing out, scratching, or any alteration is strictly prohibited in records, documents, and books.
d- The original copies of cancelled numbered documents shall be preserved in the book and shall not be disposed of. The cancellation shall be authorized by the designated individual, with the new document marked with the number of the cancelled document and vice versa, for ease of reference.
e- Original supporting documents shall be stored in a secure place. They may be disposed of after ten years, starting from the end date of the fiscal year in which they were issued.
Article (6)
a- The Authority shall maintain organized accounting records in which all financial transactions of the Authority are recorded.
b- The pages of the accounting records shall be numbered sequentially and each page shall be stamped with the Authority's seal.
c- The Authority may maintain accounting records manually or through electronic methods.
d- In the case of maintaining accounting records electronically, the necessary requirements shall be observed to ensure confidentiality and security, including defining access and modification permissions for the data, and ensuring the presence of a mechanism for creating data backups.
e- The Authority shall maintain accounting records as follows:
1- Expense Record, containing all expenditure vouchers approved by the Authority, according to the details specified in Form No. (8) attached to this Regulation.
2- Revenue Record, containing all receipt vouchers approved by the Authority, according to the details specified in Form No. (9) attached to this Regulation.
3- Immovable properties Record, including all information related to immovable properties such as purchase date, value, and location, as specified in Form No. (10) attached to this Regulation.
4- Inventory Record, encompassing data about tools, gifts, medals, and other items present in the warehouses, according to the details specified in Form No. (11) attached to this Regulation. Quantities requested shall be disbursed based on a stock requisition, in line with Form No. (12) attached to this Regulation. Warehouses shall be inventoried annually or when deemed necessary by a committee constituted by the Board, provided that the committee does not include the Authority's accountant or storekeeper. This shall be done in order to ensure that what is stated in the register matches the inventory of the warehouses.
5- Commitments Record, comprising all purchase requests, with expenditure vouchers attached in case of payment, in accordance with Form No. (13) attached to this Regulation.
6- Contractors Record, encompassing all contract data related to contractors working with the Authority, in accordance with Form No. (14) attached to this Regulation.
7- Investment Contracts Record, containing all data related to investment contracts of the Authority, in accordance with Form No. (15) attached to this Regulation.
8- Budget Implementation Record, including the estimated budget, actual expenditures, and revenues, in accordance with Form No. (16) attached to this Regulation.
9- Donations, Grants, and Bequests Record, detailing all donations, grants, and bequests received by the Authority, in accordance with Form No. (17) attached to this Regulation.
10- Rental Record for the Authority's stadiums, halls, and facilities, containing details of all reservations for the stadiums, halls, and facilities, in accordance with Form No. (18) attached to this Regulation.
Chapter Three
Budget Estimation
Article (7)
The Authority shall have an annual budget. The financial year starts on the first day of January and ends on the last day of December of the same year. The budget shall include all estimates of revenues and expenditures expected during the financial year. Under no circumstances shall the estimated budget be prepared with a deficit.
Article (8)
a- The Board shall notify the Ministry of the draft estimated budget for revenues and expenditures by the end of November of the current year at the latest. The estimates shall be accompanied by a statement of the foundations and justifications upon which they were built. The Ministry is entitled to raise any objection to the items of the estimated budget. Moreover, the Board shall respond to objections raised by the Ministry or address them.
b- The Authority may amend the estimated budget during the year whenever necessary, with notifying the Ministry of the amendment. The Ministry shall have the right to provide any observations on the matter.
Article (9)
Expenditures shall not be incurred except based on the appropriations listed in the estimated budget. The Authority shall not exceed the budget limits, and the Board shall bear the legal and financial responsibility for any violation thereof.
In the event that any item of the budget is depleted, transfers between budget items shall be permissible, provided that the necessary funds for the transfer are available.
Article (10)
The Authority may amend its estimated budget in the event of obtaining additional revenues, whether they are included in the budget or not.
Article (11)
The Authority shall carry forward any surplus from the budget to the budget of the following year.
Article (12)
In the presence of outstanding debts owed by the Authority, a percentage of not less than 20% of its total revenues shall be allocated annually for the settlement of those debts.
Chapter Four
Revenues and Collection Procedures
Article (13)
The financial resources of the Authority shall consist of the following:
1- The allocations and subsidies determined by the Ministry.
2- Various membership and subscription fees.
3- Revenues from matches and events approved by the Ministry in advance.
4- Revenues from renting the Authority's fields, halls, and facilities approved for establishment by the Ministry.
5- Donations, grants, or bequests accepted by the Board and approved by the Ministry in advance, in accordance with the procedures and rules applicable in the Kingdom.
6- Revenues from youth, commercial, investment, and advertising activities approved by the Ministry in advance.
7- Other revenues approved by the Ministry in advance.
Article (14)
The Board shall determine the categories of membership fees and annual subscriptions for each type of membership, along with the method of collection and the conditions for exemption, in a separate regulation designated for this purpose. This regulation shall be approved by the General Assembly and the Ministry.
Article (15)
The Authority shall deposit its funds in its name with one of the approved banks as determined by the Board, while notifying the Ministry thereof. The individuals authorized to sign banking transactions shall be the Financial Secretary and the President or their deputy in case of their absence.
By decision of the Board, any member of the Board may be temporarily delegated to perform the duties of the Financial Secretary in case of their absence.
Furthermore, the Authority shall notify the Ministry of any change in the bank or the opening of more than one account, whether with the same bank or a different bank, within a week from the date of the change or account opening.
Article (16)
Revenues shall be collected in accordance with the following provisions:
1- Collection shall be in cash, by check, or directly deposited into the Authority's account.
2- The Treasurer or any individual authorized by the Board shall handle the collection of amounts under the supervision of the Financial Secretary.
3- Received checks shall be non-negotiable in accordance with the mechanisms and rules applicable in the Kingdom.
4- A receipt shall be issued for all received amounts.
5- The Financial Secretary or any individual authorized by the Board shall deposit the received amounts in cash or by check in the bank within a maximum of three working days starting from the day of collection. The deposit process shall be supervised by the Financial Secretary, and the Authority shall attach the deposit receipt to the receipt.
6- Upon receiving a deposit slip from the bank indicating the deposit of amounts, the Financial Secretary shall review its contents with the relevant receipts to confirm the accuracy of the deposited amounts.
7- Upon receiving notification from the bank indicating a deposit for the benefit of the Authority, the Financial Secretary shall issue a receipt for the amount.
8- The Authority shall monitor the collection of revenues on their due dates. In case any entity fails to settle the amounts due, the Authority shall notify them in writing to settle the due amounts within fifteen days from the due date.
9- The Board shall not be allowed to borrow or take financial loans from any individual or entity without obtaining written approval from the Ministry.
10- The Authority shall not be permitted to waive or cancel amounts due to it that are difficult to collect. It shall take all legal procedures to collect them.
Article (17)
a- The estimation of the value of immovable properties that the Authority intends to sell - before proceeding with the sale procedures - shall be based on their market value, considering the useful life of the property, or through a committee formed for this purpose from among the members of the general assembly who are not members of the Board by a decision by the president after the approval of the Board. The committee may seek the assistance of experts in carrying out that task.
b- The sale of immovable properties and the rent and sale of properties owned by the Authority shall follow the following provisions:
1- Immovable properties with an estimated value not exceeding three thousand Dinars shall be sold through direct offers without the need for advertising in local newspapers. The Board shall form a committee to evaluate the offers and prepare a report accordingly. The Board shall then review the offers' report, approve the sale, and document it within the minutes of its sessions. All relevant documents shall be attached to the receipt.
2- Properties with an estimated value exceeding three thousand Dinars, as well as the rent and sale of properties owned by the Authority, shall be conducted through sealed envelope bidding. This shall be in accordance with the following rules and procedures:
- a) The announcement of the auction shall be published in one of the local newspapers. The announcement shall include the date, place, and duration for submitting auction bids.
- b) Bids shall be submitted in sealed envelopes and accompanied by an initial guarantee not less than 10% of the bid value in the form of a certified check or a bank guarantee letter.
- c) The estimated value for the leasing or sale of properties shall be determined by calculating the average of two appraisal reports provided by licensed appraisers from the competent authority in the Kingdom. The issuance date of the appraisal reports shall not exceed six months.
- d) Participants in the auction may withdraw their bids by submitting a withdrawal letter to the bid box until the last day specified for bid submission. If a participant withdraws their bid after the last day for bid submission, the Authority shall seize the guarantee.
- e) The Board shall form a committee consisting of three members, including the Chief Financial Officer, to open the envelopes and evaluate the offers.
- f) The auction shall be awarded to the highest bidder, based on a decision issued by the Board upon the committee's recommendation, under the supervision of the Ministry.
- g) The guarantee of participants who do not win the auction shall be refunded. The winning bidder shall be required to pay the remaining amount within a week from being notified of the auction award. The properties shall not be handed over until the full payment is made.
- h) A receipt shall be issued upon receiving the sale amount, and all documents and minutes of the committee and Board meetings related to the auction shall be attached to the receipt. In the case of leasing or selling a property, a contract shall be prepared and submitted to the Ministry for review before signing. This shall be done within ninety days from the date of the award decision.
- i) No Board member, their spouse, or relatives up to the third degree shall be allowed to participate in the auction.
- j) Approval shall not be granted for any bid below the estimated value.
- k) The Ministry may send a representative to oversee all committee and Board procedures for renting or selling properties.
3- Government properties used by the Authorities shall not be subject to the sale rules specified in the previous clause.
4- Renting government properties used by the Authorities shall follow the rules stated in Clause (2) of Paragraph (b) of this Article, provided that prior approval is obtained from the Ministry.
c- The Authority shall implement any observations raised by the Ministry during or regarding the processes outlined in this Article related to properties.
Chapter Five
Expenses and Purchases
Article (18)
a- All Authority expenses shall serve the purposes for which it was established and within the allocated budget categories.
b- The estimated budget appropriations shall be indicated against each item in the liability register for the purpose of monitoring disbursement within the limits of the appropriations of each item.
c- It is required to refer back to the relevant item in the expenditure record before commencing expenditure procedures to ensure the availability of financial allocations.
d- All pending obligations at the end of the fiscal year shall be transferred from the obligations register to the budget of the next fiscal year.
e- In cases of revenues collected for specific purposes, expenditures from such revenues shall only be permissible for those designated purposes.
f- The Authority shall be prohibited from transferring funds or signing conventions that result in financial obligations with parties outside the Kingdom unless written approval is obtained from the Ministry.
Article (19)
a- purchase request shall be prepared for all purchases of goods and services whose value exceeds one hundred dinars.
b- An authorized copy of the merchant's quotation shall be attached to all purchase requests issued by the Authority.
c- All purchase requests shall be recorded in the obligations register.
d- Verification of the availability of financial allocations in the Authority's budget shall be done before commencing the purchase process.
e- Purchases of the Authority shall be secured according to the following principles:
1- Equal opportunities shall be provided to all institutions, companies, and individuals wishing to engage with the Authority, provided they meet the conditions set by the Board.
2- Complete and standardized information about the required work shall be provided to competitors, and a single deadline shall be set for submitting bids and offers.
3- Purchases shall be made at the lowest prevailing prices whenever possible, while considering quality.
4- Goods and services with a specific connection or objective shall be grouped for procurement or implementation as a single batch.
5- The Financial Secretary shall prepare a list of suppliers, their addresses, and the goods and services that are frequently purchased or executed annually, to be approved by the Board.
Article (20)
a- If the cost of the purchase does not exceed two thousand dinars, the Board may authorize the President, Vice President, or the Financial Secretary to make the purchase or contract for the completion of work through direct procurement.
b- The Authority may make purchases through direct procurement for items valued over two thousand dinars, based on a decision by the Board in the following cases:
1- When the required goods, services, or work are only available from a specific supplier and there is no acceptable alternative, provided that a letter from the supplier is submitted confirming their status as the sole supplier in the Kingdom.
2- Urgent cases that cannot tolerate delays following the bidding process.
3- When prices of goods and services are standardized among all suppliers.
c- A contract shall be drafted between the Authority and the awarded supplier, outlining the goods, services, or work agreed upon.
Article (21)
If the cost of the purchase exceeds two thousand dinars but does not exceed ten thousand dinars, the purchase shall be conducted through the three-bid method, in accordance with the following rules:
1- A committee shall be formed by a decision of the Board, consisting of three members, including the Financial Secretary shall be responsible for opening the bids and preparing a report on them, outlining its recommendations for the suitable offer. The report shall then be submitted to the Board for decision. A copy of the committee's minutes and the Board's meeting minutes, along with the expenditure voucher, shall be attached.
2- The bid shall be awarded to the lowest offer price, taking into consideration the quality, type, delivery speed, and other relevant factors.
3- In case the lowest offer price is not selected, the Board shall provide reasons for the selection.
4- The Authority shall draft a contract between itself and the awarded supplier.
Article (22)
If the cost of the purchase exceeds ten thousand dinars, the purchase shall be by tender method, in accordance with the following rules:
1- A committee shall be formed to decide on the Authority's tenders, consisting of three members, presided by one of the Board members, and including the Financial Secretary. The decision to form the committee shall be issued by the Board.
2- The committee shall prepare the tender documents, including detailed specifications of the required goods, services, or works, evaluation criteria for the bids, and their relative financial and technical weights, as well as the deadlines for submitting bids.
3- The tender shall be announced in a local newspaper, including the following information:
- a) The subject of the tender.
- b) The purchasing Authority.
- c) The method of obtaining the documents.
- d) The location for submitting bids and the final deadline for submission.
4- Suppliers shall submit their bids to the Authority in sealed envelopes, placed in the tender box. Bidders shall not be allowed to make any amendments to their bids after the specified submission deadline.
5- The committee shall open the envelopes and evaluate the submitted bids, including a technical evaluation of the supplier's competence, experience, and the quality of goods and services.
6- The committee shall prepare a report, signed by all its members, recommending the award of the tender. The report shall be submitted to the Board for decision, along with a copy of the committee's minutes and the Board's meeting minutes, and the expenditure voucher.
7- The Authority shall draft a contract between itself and the awarded supplier.
Article (23)
The provisions stipulated in Articles (19) to (22) of this Regulation shall apply to construction and building works, in accordance with the terms and specifications determined by the Board under the supervision of the Ministry.
Article (24)
a- Purchases shall be received by the person authorized by the Board, by signing a copy of the delivery notification issued by the supplier, or by signing on a copy of the purchase order returned to the Authority upon receipt.
b- The recipient shall verify the validity of the received items and their conformity in terms of quantity and quality with the information provided in the purchase order. Any discrepancies observed upon delivery shall be recorded in the receipt record.
c- The recipient shall be held responsible before the Authority for any errors resulting from the acceptance of incomplete or non-compliant goods with the specifications.
Article (25)
a- Disbursement shall be carried out through one of the following methods:
1- In cash through temporary or permanent loans within the limits specified in Chapter Six of this Regulation.
2- By means of a certified cheque signed by authorized signatories.
3- Through bank transfer.
b- Payment vouchers shall be prepared for all Authority expenditures. The payment voucher shall include the following, upon completion of the financial transaction:
1- An approved price from the merchant.
2- Purchase request.
3- Certified supplier invoice including supplier's name and details, unit values, and total amount.
4- Verification of the recipient's signature on a copy of the supplier's delivery notification or purchase request.
5- Verification of the attachment of the supplier's delivery notification.
6- Payroll and employee entitlements statement.
7- Any other documentation supporting for the disbursement.
c- The following documents shall not be accepted as supporting documents for disbursement:
1- Documents written with removable, erasable, or modifiable means without showing traces of erasure, removal, or modification.
2- Damaged or unclear documents, or those with altered or tampered original data.
3- Documents altered by scraping, scanning, or other changes, unless the changes are authorized and signed by the supplier.
d- Payment vouchers shall be approved as follows:
1- By the Financial Secretary if the amount does not exceed two thousand dinars.
2- By the President or his deputy in his absence, if the amount exceeds two thousand dinars. The Board may preauthorize a member to approve payment vouchers in the absence of the President and his deputy.
e- The Authority shall settle invoices due to suppliers upon receipt, unless there is a prior agreement on a specific payment period.
f- The recipient of the check shall sign the payment voucher or any document indicating the receipt of the check.
g- After completing the payment procedures, payment vouchers and their attachments shall be stamped, with the check number and date indicated on the document if the payment was made by a certified check.
h- All payment procedures outlined in this regulation shall apply to the settlement of documentary credits.
i- A file shall be opened for each letter of documentary credit to store all correspondences and related information, under the supervision of the Financial Secretary.
j- Copies of checks, supporting documents for their receipt, or bank transfer orders shall be attached with the payment voucher.
Article (26)
a- The signing of checks, correspondences, or transactions related to the Authority's bank accounts shall be within the authority of the President of the Authority or his deputy in his absence, in addition to the Financial Secretary or any person temporarily authorized by the Board in his absence, provided that they are a member of the Board.
b- The Authority may use electronic banking services solely for accessing the Authority's account statements. It shall be prohibited from using direct bank transfer privileges through electronic banking services or any other privileges that could affect the Authority's bank account.
c- The Authority shall not be allowed, under any circumstances, to request credit facilitation in overdraft.
d- Pre-signing of checks without specifying the amount shall not be permissible, and the violators shall bear all legal and financial responsibilities thereof.
e- The Financial Secretary is responsible for keeping chequebooks.
f- In the event of cancelling a check for any reason, the Authority shall mark the check as cancelled with a stamp or a cancellation statement.
g- The Authority shall not be authorized to issue post-dated checks.
h- A monthly reconciliation of the bank account shall be prepared by the Authority's accountant or someone authorized by the Board. It shall be reviewed and approved by the Financial Secretary, within a maximum period of twenty days from the following month.
Article (27)
a- The Authority may not establish new buildings or any new facilities without obtaining written approval from the Ministry and obtaining all necessary licenses from relevant authorities.
b- The Authority shall not have the right to maintain or repair immovable or movable properties owned by others.
Article (28)
Insurance shall be provided for the properties and assets of the Authority against risks such as fire, theft or any other risks.
Chapter Six
Temporary and Permanent Loans
Article (29)
a- It is permissible to disburse amounts in the form of temporary loans for tasks related to the Authority, whether inside or outside the Kingdom. The disbursed amount shall be recorded as a temporary deposit under the name of the individual representing the Authority.
b- Temporary loans shall be settled upon the representative's submission of a report detailing the completion of the task.
c- The settlement statement shall be accompanied by supporting documents and shall be submitted within a period not exceeding fifteen days from the date of the individual's return to the Kingdom or the completion of the internal task.
d- The settlement shall be approved by the head of the delegation and the Financial Secretary.
e- The Authority may not provide loans from temporary loans to any individual.
Article (30)
a- The system of permanent loans shall be adopted to cover miscellaneous expenses, with the disbursed amount being recorded in the name of the custodian until the invoices or documents related to the expenditure are provided.
b- The custodian of permanent loans in the Authority is the Secretary.
c- In the event of changing the individual responsible for the custodianship of permanent loans for any reason, a handover report for the loans shall be prepared for the alternative individual.
d- The amount of permanent loans shall not exceed three hundred dinars.
e- If diverse activities necessitate maintaining more than one permanent advance simultaneously, the Authority may, by the Board decision, keep multiple permanent loans under the custody of the Secretary.
f- Permanent loans shall be used for purchases and expenses not exceeding one hundred dinars in value.
g- Disbursement from permanent loans requires the approval of the Financial Secretary.
h- Permanent loans shall be kept in a secure location.
i- A settlement statement for miscellaneous expenses shall be prepared according to Form No. (7) attached to this Regulation, along with the submission of invoices or documents related to the expenditure. The statement shall be prepared by the recipient of the deposit and approved by the President of the Board, his deputy, or the Financial Secretary.
Chapter Seven
Workforce
Article (31)
The Authority shall adhere to the following rules when contracting with its employees:
1- Selection among employees shall be based on qualifications, experience, and competencies, with priority given to Bahrainis in contracting.
2- The Board is responsible for appointing employees to the Authority under contracts specifically issued for this purpose. These contracts shall encompass their wages, allowances, and bonuses, in consideration of the financial allocations and budgets of the Authority.
3- The Authority shall be prohibited from contracting with any worker if there is insufficient budget to cover their work-related expenses.
4- The provisions of the Labour Law for the Private Sector promulgated by Law No. (36) of 2012 shall apply to employees of the Authority, whether they work under full-time or part-time employment.
5- Combining membership in the Board with any paid position within the Authority shall not be permissible.
6- A file for each employee shall be opened at the Authority, containing all relevant data and documents.
7- A record shall be prepared, named the Contracted Employees Record, which shall include contract details of all employees, in accordance with Form No. (14) attached to this Regulation.
Article (32)
The Authority shall adhere to the following rules when disbursing employee salaries:
1- Adopt a mechanism for employee attendance and departure within the Authority.
2- The Secretary shall prepare the payroll and have it approved by the Financial Secretary before disbursement.
3- No amounts shall be disbursed to any employee of the Authority contrary to the terms specified in the employment contract.
4- The Authority shall disburse salaries to eligible employees promptly upon their due date.
5- The disbursement of employees' entitlements in the Authority, including wages and allowances, shall follow the payment mechanism prescribed by the Labour Law for the Private Sector promulgated by Law No. (36) of 2012.
6- Deducted amounts from salaries shall be paid to the relevant authorities within a maximum period of fifteen days from the date of deduction, unless Kingdom regulations specify otherwise.
7- Advance payment of salary is not permitted, except in cases where the employee is on annual leave.
8- In the event of settling the dues of any employees in the Authority, the employee shall receive an official clearance letter approved by both the Secretary and the Financial Secretary.
Chapter Eight
Competitions
Article (33)
The provisions of this Chapter apply to all competitions in which the Authorities participate, whether at the internal, regional, continental, or international levels, whether held within or outside the Kingdom.
Article (34)
All expenses and revenues of competitions shall be managed through a financial committee established for this purpose by a decision of the Board.
Article (35)
The Board shall issue a decision to select and designate the members of the delegation representing the Authority in the competitions.
Article (36)
a- No competition shall be held or participated in unless the necessary funding is verified.
b- In case the Authority concluded sponsorship conventions for any competition, the Authority shall notify the Ministry and obtain a bank guarantee from the sponsoring party to cover its commitments. The Authority shall have the right to use the bank guarantee in case the sponsoring party breaches its commitment according to the signed agreement.
Article (37)
a- In the event that the competition takes place within the Kingdom, the Financial Secretary shall be among the members of the organizing committee. They shall be entrusted with the temporary loan and shall oversee the expenses and revenues.
b- In case the competition takes place outside the Kingdom, the Board shall appoint a person responsible for the temporary loan from among the delegation members, provided that the loan amount does not exceed fifteen thousand Bahraini Dinars. If the amount exceeds that, the Authority shall form a financial committee from among the delegation members, consisting of at least two individuals who shall be jointly liable for the loan. In all cases, the value of travel tickets shall not be included in the temporary loan amount.
Article (38)
The Authority shall prepare a settlement statement for all expenses and revenues of the competitions, accompanied by all supporting documents which shall be approved by the President of the Board and the Financial Secretary, and sent to the Ministry within thirty days from the end of the competition.
Chapter Nine
Travel Expenses
Article (39)
The financial allocations specified in this Chapter shall be disbursed to all individuals who are appointed or sent by the Authority based on a decision issued by the Board to travel abroad.
Article (40)
a- Regions and countries shall be classified according to the cost as shown in Table (1) attached to this Regulation.
b- The daily financial allocations disbursed to the delegate shall not exceed the amounts indicated in Table (2) attached to this Regulation. These amounts shall not include accommodation expenses, which are based on the rates specified in the competition system or regulation.
Article (41)
a- Financial allocations shall be disbursed if the period of delegation exceeds thirty days as follows:
1- More than thirty days up to sixty days, 75% of the specified allocations shall be disbursed.
2- More than sixty days, 50% of the specified allocations shall be disbursed.
b- All allocations shall be disbursed in the national currency.
Article (42)
Incidental expenses for external participation shall be allocated for emergency matters related to the participation itself, such as transportation, meals, medical treatment, visa fees and other fees. Expenses shall be within the approved budget, and the head of the delegation shall be responsible for them.
Article (43)
a- The head of the delegation is entitled to travel in business class, while the rest of the delegation members shall travel in economy class.
b- Priority in flight bookings shall be given to the national carrier, provided that its prices do not exceed 20% of the prices of other carriers.
c- When booking tickets, consideration shall be given to using the shortest and least costly routes, and utilizing discounted group booking rates whenever possible.
d- Delegation members shall not be allowed to receive the value of the ticket in cash.
e- The traveller shall bear any costs arising from cancelling, changing, or replacing travel tickets if the reason is attributable to them.
f- In case of travelling by land using a private mode of transportation, the Authority may compensate the delegation member for their travel ticket with an amount not exceeding 75% of the ticket value, subject to the approval of the Board.
Chapter Ten
Investment Management
Article (44)
a- The Authority may invest its assets to achieve returns, and such investments shall be made in ways permitted by the regulations in the Kingdom, provided that it does not adversely affect its objectives and activities.
b- The Authority shall not be allowed to sell, purchase, rent, or invest in real estate, lands, or any such property without obtaining written approval from the Ministry.
Article (45)
The Authority shall be prohibited from engaging in financial gambling.
Article (46)
Investments made by the Authority shall be subject to the provisions and procedures of this Regulation, especially those related to revenues, expenses, purchases, collections and disbursements. The Authority shall follow the procedures set by the Ministry in this regard.
Article (47)
The Authority shall allocate a percentage of no less than 3% of the revenues of investment projects for maintenance work on those projects, and the funds shall not be spent for other purposes without the approval of the Ministry.
Chapter Eleven
Miscellaneous Provisions
Article (48)
The Authority shall maintain its immovable properties and take care of their maintenance and use them carefully.
Article (49)
The Authority shall conduct an inventory of its immovable properties at the end of each fiscal year, or on a date determined by the Board, by a committee composed of at least three members appointed by the Board for this purpose. The committee shall submit a report to the Board on the results of the inventory for approval.
Article (50)
All movable properties such as cars and motorcycles shall be registered in the name of the Authority.
Content last updated: 19 Feb, 2026