Economy
From The Report: Bahrain 2020
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Benefitting from its robust financial services, industrial and manufacturing sectors, Bahrain’s economy is one of the most mature and diverse in the GCC. Although the kingdom has suffered in the wake of sustained low and volatile international oil prices, its economy is set to benefit from a host of supportive policies, projects and fiscal reprogramming over the near and long term. A $10bn allocation from GCC peers will provide much-needed liquidity and stability to the country’s finances, while also increasing capital expenditure capacity in 2020. The kingdom’s liberal, diverse and incentivised business environment should continue to attract new investment, even as subsidy reforms weigh on investor sentiment and cloud the near-term outlook. This chapter contains an interview with Khalid Humaidan, Chief Executive, Bahrain Economic Development Board.

Articles from this Chapter

Overview

The long haul: In a region working to lessen its dependence on oil, fiscal reform aims to support the country’s drive for diversified development
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Benefitting from its robust financial services, industrial and manufacturing sectors, Bahrain’s economy is one of the most mature and diverse in the GCC. Although the kingdom has suffered in the wake of sustained low and volatile international oil prices – which have resulted in sluggish regional and national GDP growth, as well as a widening budget deficit – it has made major strides in implementing reforms that will allow government and citizens to adjust to new economic realities,…

Interview

Conducive environment: Khalid Humaidan, Chief Executive, Bahrain Economic Development Board (EDB), on regional standards and attracting foreign investment
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Interview:Khalid Humaidan What are Bahrain’s primary economic competitive advantages, and how can these factors be best leveraged in a cooling investor climate? KHALID HUMAIDAN: As the world competes for foreign direct investment (FDI), Bahrain has worked to build on its history of trade and business opportunities. The kingdom boasts operating costs around 30-40% below neighbouring cities. What is more, the costs for technology companies is around 16% less than the rest of the GCC, and…

Overview

Shifting trade winds: Regional integration among emerging economies and a raft of new multilateral agreements bolster international trade
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Global trade faces protectionist headwinds that are dampening the outlook for growth in the coming years. According to the World Trade Organisation (WTO), trade volumes expanded by 3% in 2018 and are expected to decline slightly to 2.6% in 2019 before rebounding to 3% in 2020. This may be the first time since the 2007-08 global financial crisis that growth will fall below a 3% average, as significant uncertainty driven by an escalating US-China tariff war, acrimonious Brexit negotiations, and wariness surrounding US involvement in several multilateral trade agreements affect business confidence and investment decisions. Nevertheless,…

Overview

Shifting trade winds: Regional integration among emerging economies and a raft of new multilateral agreements bolster international trade
OBG
plus

Global trade faces protectionist headwinds that are dampening the outlook for growth in the coming years. According to the World Trade Organisation (WTO), trade volumes expanded by 3% in 2018 and are expected to decline slightly to 2.6% in 2019 before rebounding to 3% in 2020. This may be the first time since the 2007-08 global financial crisis that growth will fall below a 3% average, as significant uncertainty driven by an escalating US-China tariff war, acrimonious Brexit negotiations, and wariness surrounding US involvement in several multilateral trade agreements affect business confidence and investment decisions. Nevertheless,…