Bahrain Transport

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Chapter | Transport from The Report: Bahrain 2019

Bahrain is home to a dynamic transport sector, including one of the Gulf’s oldest airlines and a causeway linking the kingdom to Saudi Arabia, the region’s largest economy. A second such link is in development, and soon the kingdom will also be connected by rail to the GCC train network. In addition, it will gain an expansive urban light rail system, a new airport and a revitalised national...

Despite its diversified economy, Bahrain has nonetheless faced pressures in recent years as a result of the 2014-15 drop in global oil prices. However, a multibillion-dollar aid package from other Gulf states and an accompanying fiscal adjustment plan, as well as growth following a partial oil price recovery and a major oil and gas discovery, offer hope for an economic turnaround in 2019.

Although Bahrain has faced economic headwinds in recent years, the modest recovery of oil prices in 2017 bodes well for the future in addition to the non-oil sector driving growth, with activities unrelated to hydrocarbons extraction forecast to expand by 3.9% in 2018.

 

In recent years there has been a strong push among Gulf nations to improve regional connectivity, with the proposed Gulf Railway – which will ultimately link Kuwait City with Muscat via Saudi Arabia, Bahrain and the UAE – perhaps the most ambitious of the projects under development. However, it is by no means alone, with substantial investment...

 

Targeting improvements in domestic infrastructure as well as expanding the links between the kingdom, the rest of the Gulf region and further afield, Bahrain is investing heavily in its transport networks. Among the major ongoing developments is the Airport Modernisation Programme, launched in 2016 to cater for rising air traffic and with the...

 

Substantial investment in the road network is under way in Bahrain. The standout project is the upcoming King Hamad Causeway, which will provide an additional link to Saudi Arabia, and is set to be built on a public-private partnership (PPP) basis.

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