During his speech at the opening of the 32nd Metal Bulletin Conference, the Industry, Commerce, and Tourism Minister Zayed Rashid Alzayani announced that Bahraini’s aluminum industry has been advancing vigorously. Its export value exceeded USD 1.7 billion, making up 12% of the domestic GDP and employing over 12,000 people.
Although oil was first discovered in Bahrain in the early 30s, the government realized at a very early stage that diversification was needed to ensure consistent economic growth, explained the minister. In 1968, they established Alba with an initial capacity of 120,000 metric tonnes. The minister expressed his gratitude to all the people who have been working for Alba’s growth and prosperity so far.
The efforts and investments of the government in the diversification of the local economy did not stop with Alba. During the past couple of years, the authorities have been working hard to make the Kingdom ”business-friendly in the true sense of the word,” commented the Minister. Led by HM King Hamad bin Isa Al Khalifa, the HRH the Prime Minister Prince Khalifa bin Salman Al Khalifa and HRH the Crown Prince, Prince Salman bin Hamad Al Khalifa, Bahrain started a big transformation process to change the way of doing business completely.
The long road included but was not limited to altering the legislation in the field of labor affairs, foreign investments, commerce, industry, and tourism. For the first time in Bahrain’s history, the government introduced some new corporate structures such as trusts, protected cell companies, incubators, accelerators, and shelve companies. The authorities also minimized the bureaucracy, so that the full business registration process could be paperless and web-based.
The first positive results already came. The number of the registered companies increased by 160% during the past year. In addition to that, the number of FDI is approaching a new record in 2017, said Alzayani:
At a time when oil revenues are at their lowest, our economy grew at the rate of 4.3% in the last quarter while inflation and unemployment were maintained below 3% & 4% respectively.
Bahraini’s tourism sector marked a remarkable growth and turned into one of the fastest developing fields in the economy, making 6.1% of the GDP. Compared to other GCC countries, the Kingdom restricts to 100% Bahraini ownership less than 2% of the business activities, making it one of the most open and transparent economies in the region and beyond.
The launch of the Amazon Web Services regional data centers in Bahrain with a potential investment exceeding USD 1.5 billion, the Kingdom has proved itself once again as a preferred business destination in the region. Just like Alba in the beginning, the government now paves the path to a new chapter of the diversification of the economy. The Kingdom is well-positioned in several sectors, among which ICT, financial services, logistics, and manufacturing. The authorities in Manama will welcome any other options and stand ready to support and facilitate new businesses, concluded the Minister