The transport links between Bahrain and Saudi Arabia have long played a crucial role in fostering economic, social and cultural ties across the Gulf region. The King Fahd Causeway has been a vital artery for trade and travel since its opening in 1986. The establishment of the King Fahd Causeway Authority in the early 2000s has led to significant upgrades, reflecting the deepening economic ties between the two countries. Future projects are set to enhance this connectivity. Foremost among these is the King Hamad Causeway project, which aims to introduce a new 25-km bridge featuring dual-purpose road and rail links. This initiative represents a step forward in regional integration and economic collaboration between the two kingdoms.
Renewed Connectivity
The development of the new King Hamad Causeway project is poised to further strengthen trade and movement of people and goods between Bahrain and Saudi Arabia, support economic diversification and enhance mobility across the GCC. The estimated $3.5bn endeavour involves the construction of a four-lane, 25-km bridge that will accommodate both road and rail traffic, significantly expanding the capacity of the existing road link. Indeed, in 2022 the existing King Fahd Causeway handled approximately 8.2m vehicles in total, up from 2.8m and nearly 3.6m during the pandemic years of 2020 and 2021, respectively. Congestion often leads to delays and limits the King Fahd Causeway’s efficiency. The planned King Hamad Causeway – which will run directly alongside the older bridge – aims to alleviate this bottleneck. The project is led by King Fahd Causeway Authority – a joint venture between Bahrain’s Ministry of Transportation and Telecommunications and Saudi Arabia’s Ministry of Transportation and Logistic Services, though it is being developed on a public-private partnership model.
The dual-purpose nature of the King Hamad Causeway is set to integrate seamlessly with regional rail networks, which are a critical component of the GCC Railway project (see overview). This integration is expected to enhance Bahrain’s logistical capabilities, facilitating a smoother and faster flow of goods and passengers across the Gulf. The rail link alone is projected to handle up to 3m passengers and 600,000 twenty-foot equivalent units of container freight annually by 2030, significantly boosting trade and tourism between Bahrain and Saudi Arabia.
The King Hamad Causeway is expected to contribute to both countries’ GDPs by improving trade efficiency and reducing transport costs. By December 2024 the project’s timeline was under review. Nevertheless, the King Hamad Causeway represents a critical investment in the future of Bahrain and Saudi Arabia, underscoring both countries’ commitment to Gulf connectivity.
Shoring Up Trade Ties
In a reflection of the strong ties between the two kingdoms, in March 2024 their respective ministers of transport met in Manama to sign two memoranda of understanding (MoUs) signalling their ongoing commitment to strengthening their collaboration in transport and logistics – with an emphasis on joint road maintenance projects. Specifically, the MoUs outlined plans to better facilitate the exchange of expertise between the two nations, to establish joint training programmes and seminars, and to pursue collaborative research and development projects. While at the time of publication no new initiatives had yet emerged, the agreements reflect the fact that Bahrain and Saudi Arabia are continuously exploring new opportunities to work together across industries.
Indeed, earlier in March the two nations had signed another MoU focused on jointly developing social housing and improving urban planning. As with the transport and logistics MoUs, this earlier agreement encompassed the potential establishment of joint technical committees and the exchange of expertise. In late 2023 Saudi Arabia’s minister of transport and logistics announced that the Kingdom planned to invest SR1.6trn ($426.7bn) through similar partnerships with neighbouring countries as well as the private sector.
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