Bahrain's Business Landscape: A Count Of Companies

Bahrain is a small Arab monarchy with a high Human Development Index and a high-income economy, according to the World Bank. As of 2018, there were 92,000 enterprises in Bahrain, with approximately 85,000 of those being micro-businesses. The country has a diverse range of industries, including banking, tourism, oil, and telecommunications. Bahrain's stock exchange reported 41 listed domestic companies in 2022, with a high of 52 in 2008 and a low of 35 in 1996.

Bahrain has 92,000 enterprises, 85,000 of which are micro-businesses

Bahrain is a small Arab monarchy with a high Human Development Index and a high-income economy. In January 2018, Bahrain was home to 92,000 enterprises, 85,000 of which were micro-businesses. This includes notable companies with primary headquarters in the country, such as the Al Baraka Banking Group, the Arab Banking Corporation, the Bahrain Petroleum Company, and the National Bank of Bahrain.

Bahrain has invested in the banking and tourism sectors since the late 20th century, and many large financial institutions have a presence in Manama, the country's capital. Bahrain's stock exchange, the Bahrain Bourse, listed 41 domestic companies in 2022 and 2024. The number of listed companies peaked in November 2008 at 52, while the lowest number of listed companies was 35 in 1996.

The Bahrain Bourse is the primary stock exchange in Bahrain. A listed company refers to a company that has its shares traded on a stock exchange. These companies are typically incorporated and must be admitted to listing on the exchange. In Bahrain, this includes domestic companies as well as foreign companies that are exclusively listed on the exchange.

Micro-businesses, on the other hand, are small businesses that typically have fewer than ten employees and turnover less than €2 million annually. They are an essential part of the economy, particularly in the services sector. Micro-businesses often have a significant impact on the country's economic growth and job creation.

There are 41 listed domestic companies in Bahrain

Bahrain is home to 41 listed domestic companies, according to data from the World Bank. This figure, which excludes investment companies, mutual funds, and other collective investment vehicles, has remained constant from 2021 to 2022. The data also reveals that the number of listed domestic companies in Bahrain reached an all-time high of 45 in 2008 and a record low of 35 in 1996, with an average of 42 from 1995 to 2022.

The Bahrain Bourse, the country's stock exchange, reported 41 listed companies in July and August 2024. This number had previously dipped to a low of 40 in July 2017 and risen to a high of 52 in November 2008. The Bahrain Bourse data provides a more recent snapshot of the country's business landscape, specifically the number of listed companies on the exchange.

The World Bank's data on listed domestic companies offers a broader perspective, as it includes all companies admitted to listing on the exchange, even if they are not actively traded or have ceased operations. It is worth noting that the World Bank's data also excludes certain types of companies, such as investment funds and holding companies.

The Bahrain Bourse data, on the other hand, provides a more focused perspective on the number of listed companies actively trading on the exchange. The difference in the numbers presented by the two sources can be attributed to their distinct methodologies and the specific types of companies they include or exclude.

Bahrain's economy is focused on banking and tourism

Bahrain is a small Arab monarchy with a high Human Development Index and a high-income economy. The country has a diverse economy, with a focus on banking and tourism.

Since the late 20th century, Bahrain has invested heavily in these sectors. The country's capital, Manama, is home to many large financial institutions, and Bahrain's finance industry is very successful. In 2008, the country was named the world's fastest-growing financial centre by the City of London's Global Financial Centres Index.

Bahrain's banking and financial services sector, particularly Islamic banking, have benefited from the regional boom driven by demand for oil. Petroleum is Bahrain's most exported product, accounting for 60% of export receipts, 70% of government revenues, and 11% of GDP.

Bahrain's other significant natural resource is natural gas, which, alongside oil, plays a dominant role in the country's economy. Despite efforts to diversify, oil still comprises 85% of Bahraini budget revenues.

Bahrain has a solid banking sector and is a developed financial hub. The country has a successful diversification strategy, with a focus on banking, heavy industries, retail, and tourism. The Kingdom is the main banking hub for the Persian Gulf and a centre for Islamic finance, which has been attracted by the strong regulatory framework for the industry.

Bahrain's investment climate is positive and relatively stable, and the country maintains a business-friendly environment. The government has a proactive approach to attracting foreign investment and business, with state-owned enterprises being the primary engines for growth. Bahrain aims to expand the private sector's contribution to the economy and move away from its dependency on hydrocarbons.

The government's long-term development plan focuses on five pillars:

• Creating quality jobs for citizens
• Streamlining commercial procedures to attract $2.5 billion in yearly foreign direct investment by 2025
• Launching $30 billion in major strategic projects
• Developing strategic priority sectors
• Achieving fiscal sustainability and economic stability

Bahrain's Vision 2030 outlines measures to protect the natural environment, reduce carbon emissions, minimize pollution, and promote sustainable energy. The country is also committed to reducing its reliance on oil and gas and encouraging foreign direct investment in sectors such as manufacturing, logistics, infrastructure, information and communications technology, financial services, tourism, health, and education.

Bahrain has a high Human Development Index

The HDI is compiled by the United Nations Development Programme (UNDP) and is used to provide a measure of human development that is comparable between countries and over time. The index incorporates three dimensions of human development: a long and healthy life, knowledge, and decent living standards. Various indicators are used to quantify how countries perform on each dimension, including life expectancy at birth, expected years of schooling for children, mean years of schooling for adults, and gross national income per capita. These indicators are used to create a health index, an education index, and an income index, each with a value between 0 and 1. The geometric mean of these three indices is the HDI.

The HDI was first published in 1990 as a more comprehensive measure of human development than purely economic measures such as gross domestic product. Over time, the HDI has changed how people view the concept of human development, and it has been updated to address criticisms and improve data and methodology. For example, in 2010, the UNDP introduced the inequality-adjusted Human Development Index (IHDI) to address criticisms about how the factors were weighed, particularly the valuation of an additional year of life expectancy differently between countries.

The HDI is not without its limitations, and some scholars have criticized certain aspects of the index. For instance, they note the omission of factors such as distributional and gender inequality. In response, the UNDP introduced the Gender Development Index (GDI) in its 1995 report. Additionally, some critics argue that using a single number per country oversimplifies the concept. Despite these criticisms, the HDI remains a valuable tool for comparing human development between countries and over time.

Bahrain is a small Arab monarchy

Bahrain is an archipelago consisting of Bahrain Island and about 30 smaller islands, with a total land area slightly larger than that of Singapore. The country's name derives from the Arabic term "al-baḥrayn," meaning "two seas." While the smaller islands are rocky and low-lying, the main island features a varied landscape, including a rocky and barren central region and fertile lowlands in the south and west.

Bahrain has a high Human Development Index and is recognised as a high-income economy by the World Bank. The country has a diverse economy, with a strong focus on banking, tourism, and financial services. Bahrain's chief city, port, and capital, Manama, is located on the northeastern tip of Bahrain Island. It is a strikingly modern and cosmopolitan city, attracting many visitors from neighbouring countries.

Bahrain has a population of approximately 1.5 million people, with about half of the population being foreign-born, mainly from Iran, India, Pakistan, Britain, and the United States. The official language is Arabic, but English is widely used, and Persian is commonly spoken at home.

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