Overview

As a stable player in the region, Bahrain raises international profile
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The name Bahrain means “two seas” in Arabic. It is unclear what the term specifically refers to, and for much of its history, Bahrain was the name for the eastern coast of Arabia. Only recently has it come to identify the islands of the Awal archipelago. History The island’s first notable inhabitants were of the Dilmun civilisation, approximately 6000 years ago, but its geographically…

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Diversification key to Bahrain's holistic economic development
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Bahrain’s economic story over the past year is one of two parts: while the government has given much attention to the nation’s stubborn fiscal deficit and a challenging process of subsidy reduction, a longer-term focus has remained on the objective of economic diversification that the kingdom established in the early years of this century. Progress has been made regarding these concerns, in the…

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Strong financials give Bahrain global sway
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Thanks to a famously prudent yet flexible regulatory system, Bahrain’s lenders have been able to extend from a relatively small domestic base to become significant regional and global players. The extent of their reach helps them remain resilient amidst the challenges caused by regional unrest and falling oil prices over the past year. While these potential obstacles to growth remain, the sector’s…

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New developments helping expand Bahrain's capital markets
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Like other bourses in the region, the Bahrain exchange faced strong economic headwinds in 2015 as a result of falling oil prices and the unrest in the wider Middle East. Nevertheless, a process of market development continues in the form of technical upgrades, legislative improvements and a steady stream of new investment instruments. As regional competition for liquidity intensifies, the exchange…

Overview

Bahrain remains at the forefront of Islamic finance
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As a pioneer in Islamic finance regulations and the home of some of the most important standard-setting institutions in the global sharia-compliant arena, Bahrain is at the forefront of the international Islamic financial services (IFS) industry. Islamic banks in the kingdom continue to expand, serving the region as well as the domestic market, while sharia-compliant insurance activity is about to…

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Bahrain consolidates reputation as key insurance player in the Gulf
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For decades, Bahrain has been a regional centre for insurance, with domestic and international firms taking advantage of the country’s robust yet accommodating regulatory structure to pursue business both locally and in rapidly emerging regional markets. The nation’s insurance industry faces increased competition on two fronts: at home, a crowded market makes for one of the most competitive insurance…

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Innovative oil recovery methods boost production in Bahrain
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The composition of Bahrain’s GDP compared to the five other GCC member countries, shows that while the energy sector remains the single largest contributor to national production, at just under a quarter of GDP, Bahrain is leading the way on economic diversification. An IMF discussion paper on economic diversification in GCC countries, published in December 2014, showed that according to the latest…

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Bold transport plans in Bahrain include new causeway
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As Bahrain marks the 30th anniversary of the opening of the King Fahd Causeway linking it to Saudi Arabia, the country’s transport sector is gearing up for expansion in both the short and medium term. GCC funds are being used to complete upgrades to the road network and airport facilities, while the government is investing in infrastructure improvements and new public transport initiatives. As it…

Overview

GCC investment brings benefits for Bahrain's construction sector
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Business is booming for the construction industry in Bahrain, but this is no repeat of the heady days of the 2008 property bubble. The island is building for the future, using billions of dollars of Gulf Development Programme donations to remodel its airport and highway system, as well as to provide tens of thousands of affordable homes for its citizens. The largely state-owned Aluminium Bahrain,…

Overview

Construction in Bahrain begins recovery as housing benefits from GCC funding
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In the space of a generation Bahrain has been transformed beyond recognition. A bustling ferry jetty that was once the only way to reach Saudi Arabia has been transformed into a financial harbour, while the five-star Gulf Hotel, built to overlook the beach in 1969, now markets itself as a downtown destination. Land reclamation offers opportunities for development stretching from the man-made islands…