National Bank of Bahrain Signs Memorandum of Understanding With Partior for Blockchain Settlement
The National Bank of Bahrain (NBB) and Singapore-based Partior signed a memorandum of understanding on October 15 to evaluate bringing Bahraini dinar settlement onto Partior’s multi-bank blockchain network. The agreement, finalized at Sibos, sets out a framework to assess NBB’s potential role as a settlement bank, covering the proposed operating model, implementation needs, and technical and regulatory feasibility.
Partior operates a live blockchain network designed for 24/7 atomic settlement and cross-border payments between financial institutions. NBB is listed on the Bahrain Bourse under ticker NATB. The collaboration adds to Partior’s expanding footprint across the Gulf Cooperation Council region and follows earlier milestones on the platform, such as Deutsche Bank completing its first euro transaction on the network in September 2025.
Evaluating Operating Models and Regulatory Frameworks
The newly signed memorandum of understanding outlines a comprehensive assessment phase. Both institutions are tasked with examining how NBB’s local market capabilities can integrate with emerging digital infrastructure. Vineet Munot, Group Head of Transaction Banking at NBB, stated that the bank would approach the opportunity with the appropriate technical, operational, and regulatory considerations to determine its value for NBB and the broader banking and finance industry.
Bahrain’s regulatory landscape includes crypto-asset rules maintained by the central bank, alongside a stablecoin issuance framework issued on July 4, 2025. However, the initial announcement does not specify which exact regulations would apply to the proposed settlement model, nor does it establish a concrete timeline for implementation. Whether Bahraini dinar settlement ultimately reaches production depends entirely on the outcomes of this joint technical and regulatory assessment.
Expanding Multi-Bank Network Interoperability in the GCC
For Partior, the engagement represents an ongoing strategy to broaden its currency coverage and improve international connectivity. Humphrey Valenbreder, CEO of Partior, stated that the work with NBB provides an avenue to incorporate Bahraini dinar settlement into the network, building on the company’s growing presence in the GCC and working alongside a world-class partner. The partnership follows Partior’s earlier cross-border settlement collaboration with LSEG.
The proposed arrangement remains strictly at the evaluation stage. NBB aims to strengthen its transaction banking capabilities and improve international connectivity through the initiative, while Partior continues to scale its production-ready infrastructure following previous institutional deployments.
