Economy Overview
Bahrain is one of the most diversified economies in the Persian Gulf. Highly developed communication and transport facilities make Bahrain home to numerous multinational firms with business in the Gulf. As part of its diversification plans, Bahrain implemented a Free Trade Agreement (FTA) with the US in August 2006, the first FTA between the US and a Gulf state. Bahrain's economy, however, continues to depend heavily on oil. Petroleum production and refining account for more than 60% of Bahrain's export receipts, 70% of government revenues, and 11% of GDP (exclusive of allied industries). Other major economic activities are production of aluminum - Bahrain's second biggest export after oil - finance, and construction. Bahrain competes with Malaysia as a worldwide center for Islamic banking and continues to seek new natural gas supplies as feedstock to support its expanding petrochemical and aluminum industries. In 2011 and continuing into 2012, Bahrain experienced economic setbacks as a result of domestic unrest. Bahrain's reputation as a financial hub of the Gulf has been damaged, and the country now risks losing financial institutions to other regional centers such as Dubai or Doha. Economic policies aimed at restoring confidence in Bahrain's economy, such as the suspension of an expatriate labor tax, will make Bahrain's foremost long-term economic challenges - youth unemployment and the growth of government debt - more difficult to address.
Agriculture Products
fruit, vegetables; poultry, dairy products; shrimp, fish
Industrial Production Growth Rate
1.5% (2010 est.)country comparison to the world: 130
Labor Force
705,900country comparison to the world: 152 note: 44% of the population in the 15-64 age group is non-national (2012 est.)
Unemployment Rate
15% (2005 est.)country comparison to the world: 145
Population Below Poverty Line
NA%
Household Income or Consumption by Percentage Share
Lowest 10%: NA%
Highest 10%: NA%
Budget
Revenues: $8.466 billion
Expenditures: $8.911 billion (2012 est.)
Public Debt
56.2% of GDP (2012 est.)country comparison to the world: 52 54% of GDP (2011 est.)
Commercial Bank Prime Lending Rate
Stock of Narrow Money
$7.854 billion (31 December 2012 est.)country comparison to the world: 83 $7.013 billion (31 December 2011 est.)
Stock of Broad Money
$24.38 billion (31 December 2012 est.)country comparison to the world: 82 $21.64 billion (31 December 2011 est.)
Stock of Domestic Credit
$24.31 billion (31 December 2012 est.)country comparison to the world: 76 $20.78 billion (31 December 2011 est.)
Market Value of Publicly Traded Shares
$17.15 billion (31 December 2011)country comparison to the world: 62 $20.43 billion (31 December 2010) $16.93 billion (31 December 2009)
Reserves of Foreign Exchange and Gold
$4.853 billion (31 December 2012 est.)country comparison to the world: 92 $4.245 billion (31 December 2011 est.)
Debt External
$25.27 billion (31 December 2012 est.)country comparison to the world: 74 $25.15 billion (31 December 2011 est.)
Stock of Direct Foreign Investment at Home
$16.87 billion (31 December 2012 est.)country comparison to the world: 75 $15.94 billion (31 December 2011 est.)
Stock of Direct Foreign Investment Abroad
$10.02 billion (31 December 2012 est.)country comparison to the world: 52 $8.777 billion (31 December 2011 est.)
Exchange Rates
Bahraini dinars (BHD) per US dollar -0.376 (2012 est.) 0.376 (2011 est.) 0.376 (2010 est.) 0.376 (2009) 0.376 (2008)
