Country Profile
From The Report: Bahrain 2016
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The kingdom of Bahrain has been ruled as a constitutional monarchy since 2002 under the leadership of Sheikh Hamad bin Isa Al Khalifa. The country pioneered the Middle East’s oil production in 1932, thus establishing the region’s initial framework for the petroleum industry. The energy sector remains a pillar of the kingdom’s economy, accounting for the bulk of government revenues but a shrinking proportion of GDP thanks to early efforts to diversify the economy away from hydrocarbons. This led to the kingdom’s establishment as a chief financial centre in the region, with the country home to a thriving sharia-compliant segment and financial services representing the second-largest contributor to the country’s GDP. Elsewhere transport links across the kingdom are being upgraded, with major expansion works at Bahrain International Airport expected to boost the country’s status as a centre for trans-shipment and logistics as well as further fuel the country’s growing tourism industry.

This chapter contains an interview with Li Yong, Director-General, UN Industrial Development Organisation (UNIDO).

Articles from this Chapter

Overview

The country of two seas: A stable player in the region raises its profile internationally
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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 strategic location has attracted the attention of numerous empires over the centuries, including the…

Overview

Steadying the ship: With growth moderate, the government boosts public spending
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Ramped-up investment programmes and solid private sector expansion helped sustain Bahrain’s economic growth in 2015, albeit at a slower pace than in previous years. According to the IMF, the final figure for GDP growth in 2015 is expected to be 3.2%. While down on the 4.5% growth recorded in 2014, this places Bahrain’s economy ahead of the MENA average of 2.3% and the global average of 3.1%. Growth is forecast to remain stable in 2016, predicted to come in at 3.2%, according to IMF estimates. Energy…

Overview

Preparing for the future: Declining production in the Gulf has GCC nations looking elsewhere to assure food security
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Since Saudi Arabia began reducing its domestic wheat production in 2008, the issue of food security has been high on the agenda for GCC governments. The kingdom, which was once self-sufficient in the grain and even exported to the wider region, recognised a fact that is true across the whole of the Arabian Peninsula. It is running out of water and local production of many agricultural products is unsustainable. As the preservation of dwindling water supplies trumps a secure domestic source of food,…

Overview

Managing growth: A youthful population has the potential to boost Gulf economies
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One of the most important issues currently facing the Middle East is the changing composition of its demographic structure. A massive cohort of young people – known as a youth bulge – is challenging policy makers, with youth policy affecting security, education, the labour market and welfare programmes, among other areas. Given the relative stability and wealth of the GCC states, this is an issue that is not often associated with the region. However, handling a vast and growing young population…

Interview

Building capacity: OBG talks to Li Yong, Director-General, UN Industrial Development Organisation (UNIDO)
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Interview:Li Yong What perspectives and expertise can Bahrain and other Gulf nations offer to the international community in supporting development? LI YONG: Under the banner of south-south cooperation the governments of Bahrain and India, with UNIDO, established the Arab Regional Centre for Entrepreneurship and Investment Training (ARCEIT) in 2001. ARCEIT, in cooperation with the Bahrain Ministry of Industry and Commerce and the Bahrain Development Bank, founded what is today known…