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FAQ

BAHRAIN FREQUENTLY ASKED QUESTIONS

Where can I find general information about Bahrain?
What Is Bahrain like geographically?
Who Lives In Bahrain?
How is Bahrain governed?
What Is Bahrain's Economy Like?
What Does "Bahrain" Mean?
I am traveling to Bahrain and need a visa, what do I need to do? Whom do I contact? What forms do I need?
Where can I find information on accommodations in Bahrain?
Where can I find information on culture, cultural events and cultural centers in Bahrain?
Where can I find information on Bahrain's system of education?
Where do I find economic information about Bahrain? (Where can I find more information about doing business in Bahrain?)
I need more detailed information about the USBFTA. Where do I go?
What is the economic significance of signing an agreement with the U.S.?
Which sectors would benefit from tariff savings?
Who can take advantage of the services and investment commitments of the USBFTA?
What is the impact of the USBFTA on the banking industry in Bahrain?
Which industries are open for investment?
Why is Bahrain a favorable business environment?


Q: Where can I find general information about Bahrain?

A: You can find general information on the Kingdom of Bahrain through the following links. Each page has a slightly different approach to the subject, yet offers valuable, current information on the Kingdom.

Q: What Is Bahrain like geographically?

A: Bahrain is an archipelago in the Persian Gulf, surrounded by the Gulf of Bahrain.

Saudi Arabia lies about 24 km to the west and Qatar about 28 km to the southeast. Both are connected to Bahrain by causeways.

Bahrain's total area is 665 sq km—mostly low desert plain rising gently to low central escarpment. Bahrain has 161 km of coastline.

The climate is arid with mild, pleasant winters and very hot, humid summers.

The capital of Manama is home to 138,784. Muharraq Town is home to 75,906 according to a 1990 estimate.

Major Airport: Bahrain International Airport

Major Tourist Attractions include:

Q: Who Lives In Bahrain?

A: A 2003 estimate put the population of Bahrain at 667,238 , including 235,108 non-nationals.
Nationality: noun: Bahraini(s); adjective: Bahraini
Ethnic Groups: Bahraini 63%, Asian 19%, other Arab 10%, Iranian 8%
Languages: Arabic, English, Farsi, Urdu

Q: How is Bahrain governed?

A: Bahrain is a constitutional monarchy headed by the King, His Majesty Shaikh Hamad bin Isa Al-Khalifa.
(http://www.bahrainembassy.org/kingbio.htm)

The head of government is the Prime Minister, Shaykh Khalifa ibn Salman al Khalifa, (http://www.bahrainembassy.org/PMbio.htm)
who presides over a 15-member cabinet.

Crown Prince: His Highness Shaikh Salman bin Hamad Al-Khalifa
http://www.bahrainembassy.org/princebio.htm

Bahrain has a bicameral legislature. The lower house, the Chamber of Deputies, is elected by the general population (both women and men vote). The upper house, the Shura Council, appointed by the King. Both houses have forty members. The inaugural elections were held in 2002, with parliamentarians serving four-year terms.

National Holidays: National Day (Eid al-Watani), 16 December (1971)

Q: What Is Bahrain's Economy Like?

A:
Currency: Bahraini dinar (BHD)
GDP (purchasing power parity): $24.61 billion (2007 est.)
GDP (official exchange rate): $16.89 billion (2007 est.)
GDP (real growth rate): 6.6% (2007 est.)
GDP by sector: agriculture: 0.3%, industry: 43.6%, services: 56% (2007 est.)                                                                                 Investment (gross fixed): 17.6% of GDP (2007 est.)
Labor Force: 363,000 (44% of the population in the 15-64 age group is non-national) (2007 est.)
Labor force: agriculture: 1%, industry: 79%, services: 20% (1997 est.)
Major Industries: petroleum processing and refining, aluminum smelting, iron pelletization, fertilizers, Islamic and offshore banking, insurance, ship repairing, tourism
Industrial Production Growth Rate: 5.5% (2007 est.)
Major Agricultural Products: fruit, vegetables; poultry, dairy products; shrimp, fish
Natural Resources: oil, associated and no associated natural gas,fish, pearls
Land use: arable land: 2.82% , permanent crops: 5.63%, other: 91.55% (2005)
International Environmental Agreements: Biodiversity, Climate Change,
Climate Change-Kyoto Protocol, Desertification, Hazardous Wastes, Law of the Sea, Ozone Layer Protection, Wetlands
Exports: $13.16 billion (2007 est.)
Exports - Commodities: petroleum and petroleum products, aluminum,textiles
Exports - Partners: Saudi Arabia 3.2%, US 3%, Japan 2.3% (2006)
Imports: $9.784 billion (2007 est.)
Imports - Commodities: crude oil, machinery, chemicals
Imports - Partners: Saudi Arabia 37.2%, Japan 6.8%, US 6.2%, UK 6.1%, Germany 6%, UAE 4.2% (2006)
Stock of direct foreign investment - at home: $11.55 billion (2006 est.)
Stock of direct foreign investment - abroad: $6.039 billion (2006 est.)

In a region currently experiencing an oil boom of unprecedented proportions, Bahrain is the fastest growing economy in the Arab world, the United Nations Economic and Social Commission for Western Asia found in January 2006. Bahrain also has the freest economy in the Middle East according to the 2006 Index of Economic Freedom published by the Heritage Foundation/Wall Street Journal, and is twenty-fifth freest overall in the world.

In Bahrain, petroleum production and processing account for about 60% of export receipts, 70% of government revenues, and 11% of GDP. With its highly developed communication and transport facilities, Bahrain is home to numerous multinational firms doing business in the Persian Gulf. Second to oil, aluminum is the second major export. The financial and construction sectors are currently experiencing a surge, and their growing success is helping to diversify Bahrain's economic interests. Bahrain has become an international banking hub, competing with Malaysia as a worldwide banking center. In addition to diversifying, Bahrain is pursuing a privatization of its economy to reduce the country's dependence on oil. A crucial part of this effort is the US-Bahrain Free Trade Agreement (FTA), signed in August 2006 as the first FTA between the US and a Gulf state.

Q: What Does "Bahrain" Mean?

A: Bahrain is an Arabic word meaning "Two Seas", and is thought to either refer to the fact that the islands contain two sources of water, sweet water springs and salty water in the surrounding seas, or to the south and north waters of the gulf, separating it from the Arabian coast and Iran, respectively.

Q: I am traveling to Bahrain and need a visa, what do I need to do? Whom do I contact? What forms do I need?

A: The most comprehensive information on consular affairs regarding Bahrain can be found here:

http://www.bahrainembassy.org/consularservices.html

Q: Where can I find information on accommodations in Bahrain?

A: Here are links to some suggested sources of information on travel accommodations in Bahrain:

Q: Where can I find information on culture, cultural events and cultural centers in Bahrain?

A: If you are looking for general information on social and cultural events while in Bahrain the following site is a good start:

http://www.bahrainhotelandtravel.com/

The following link takes you to the Bahrain Arts Society where you can explore events specific to that organization.

http://www.bahartsociety.org.bh/

This monthly publication is a good source of information on leisure and entertainment in Bahrain.

http://www.bahrainthismonth.com/

Q: Where can I find information on Bahrain's system of education?

A: This official site of the Ministry of Education has a list of all the schools in Bahrain. It is also your one-stop information center on each level of pre-university formal education, its systems, curriculum and examination.

http://www.education.gov.bh/

Q: Where do I find economic information about Bahrain?
(Where can I find more information about doing business in Bahrain?)

A: For a brief overview on doing business in Bahrain, visit:

http://www.bahraingateway.org/index.cfm?fuseaction=section.home&id=13

For information relating to the export and import of U.S. goods and services, connect to the U.S. Commercial Service Bahrain by clicking here:

http://www.buyusa.gov/bahrain/en/

The Economic Development Board of Bahrain is the first point of call for businesses wanting to establish operations in Bahrain. Please visit:

http://www.bahrainedb.com/

Also, the American Chamber of Commerce in Bahrain is a rich source of information as well.

http://www.amcham-bahrain.org/

Q: I need more detailed information about the USBFTA. Where do I go?

A: The Office of the United States Trade Representative has invaluable and definitive information on the USBFTA.

http://ustr.gov/Trade_Agreements/Bilateral/Bahrain_FTA/Section_Index.html

The American Chamber of Commerce for Bahrain is another good source of information on the USBFTA.

http://www.amcham-bahrain.org/

Q: What is the economic significance of signing an agreement with the U.S.?

A: Despite the relatively small size of the Bahraini market, substantial new international markets will arise for American goods. In the long term, a USBFTA will guarantee that the historically beneficial relationship between the U.S. and Bahrain will not only continue, but grow.

Q: Which sectors would benefit from tariff savings?

A: The Agreement uses the so-called "negative list" approach, meaning that all sectors are covered unless specifically excluded.

Q: Who can take advantage of the services and investment commitments of the USBFTA?

A: Key services sectors covered by the Agreement include audiovisual, express delivery, telecommunications, computer and related services, distribution, healthcare, services incidental to mining, construction, architecture and engineering.

Q: What is the impact of the USBFTA on the banking industry in Bahrain?

A: U.S. financial service suppliers will have the right to establish subsidiaries, branches and joint ventures in Bahrain and enjoy the benefits of strong regulatory transparency, including prior notice and comment and license approval within 120 days.

Q: Which industries are open for investment?

A: All industries are open for investment

Q: Why is Bahrain a favorable business environment?

A: Bahrain's history as a successful trading and business nation goes back more than 4,000 years, when the Dilmun civilization lay at the heart of the world's trade routes.

In modern times, Bahrain was the first nation in the Gulf to discover oil - and the first to recognize the need to diversify its economy. Today, we are home to thriving businesses in financial services, in the downstream sector, in business support services, in tourism and in many other areas.

Bahrain's fast-growing economy attracts a higher proportion of foreign investment than any other Gulf State. The reasons for that include:

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