Working In Bahrain: A Good Career Move?

Bahrain is a popular destination for expatriates, ranking highly on a list of the best countries for expats. The country offers several benefits, including high salaries, no personal taxes, and a low cost of living. English is widely spoken, making it easy for expats to communicate with their colleagues. The job market in Bahrain is diverse, with major employers in sectors such as oil, banking, tourism, and construction. The country also has a great business environment, a terrific location, minimal traffic, and a welcoming culture.

High salaries and no personal taxes

Bahrain is widely regarded as an attractive place for expats to work, with the added incentive of high salaries and no personal taxes. This means that expats can take home more of their earnings, which can be a significant financial benefit.

The average wage in Bahrain in 2018 was $7,867 per month, according to Gulf Business. However, salaries vary greatly depending on the sector and level of the job. For example, a CEO of a multinational company can expect to earn around $33,000 per month, while a labourer or housemaid may earn significantly less.

The lack of personal income taxes is a significant advantage for expats working in Bahrain compared to other countries. This is because, in many other countries, expats are subject to income taxes, which can reduce their take-home pay. In Bahrain, however, expats can keep 100% of their salary, which can be a strong incentive to work in the country.

The Bahraini Dinar is also pegged to the US Dollar, which is currently strong. This means that wages in Bahrain feel higher compared to other currencies. Additionally, the cost of living in Bahrain is lower than in other Gulf countries, so your money will go further.

The combination of high salaries, no personal taxes, and a favourable exchange rate makes Bahrain a financially attractive destination for expats looking to advance their careers and increase their earning potential.

Bahrain's economic growth and diversification

Bahrain's economy is largely dependent on oil and gas, with petroleum being the country's most exported product. However, the country has been working to diversify its economy and reduce its reliance on this sector. In the late 20th century, Bahrain invested heavily in the banking and tourism sectors, and its finance industry is now very successful. Bahrain was named the world's fastest-growing financial centre by the City of London's Global Financial Centres Index in 2008.

Bahrain's banking and financial services sector, particularly Islamic banking, have benefited from the regional boom driven by demand for oil. The country has also benefited from its position as a regional financial and business centre, as well as from increased tourism. Bahrain's gross international reserves increased substantially in 2004, and the country experienced economic growth of 5.5% following the oil boom in 2001.

Despite these diversification efforts, oil still comprises a significant portion of Bahraini budget revenues, and lower world energy prices have generated significant budget deficits. Bahrain's economic stability is closely connected to oil prices, Saudi transfers, diversification efforts, and economic reform. Low oil prices since 2014 have impacted the country's credit risk and liquidity situation.

To counter this, Bahrain has undertaken economic diversification measures in manufacturing, refining, tourism, trade, and finance. The country has developed current account deficits in recent years, and its foreign reserves have been shrinking. However, Bahrain's GDP grew by 2.45% overall in 2023, with a robust increase of 4.48% in the non-oil sector, indicating successful economic diversification efforts.

Bahrain has implemented various measures to foster innovation and reduce its dependency on oil, with advancements in financial services, tourism, and technology. The country's capital, Manama, is home to many large and medium financial organisations due to its reliance on oil and gas exports. The financial sector aims to increase the insurance sector's contribution to GDP up to 8.4% by 2026 and increase the finance industry's overall contribution to the economy.

In the tourism sector, Bahrain aims to promote itself as an international hub and increase the sector's contribution to GDP up to 11.4% by 2026. The country has completed construction projects, hosted world-renowned celebrities, and developed major tourist attractions to support this initiative.

Additionally, Bahrain has a long-term strategy to initiate over 20 developmental projects, focusing on tourism, construction, industrial development, education, health, housing, and real estate. The country also plans to promote education, jobs, and businesses among its nationals, upskilling the workforce and creating more job opportunities.

In summary, Bahrain has experienced economic growth and diversification, particularly in the non-oil sector, through various strategic initiatives and economic reforms. The country continues to work towards reducing its reliance on oil and gas, fostering innovation, and enhancing its position as a regional financial and business centre.

Work culture and communication

Bahrain is an attractive place for expats to work, with high salaries, no personal taxes, and an easy process for settling in. The country's economy has suffered in recent years due to low oil prices, but it is still a major petroleum producer and a banking and financial hub in the region.

English is widely spoken in the workplace, so expats should have no difficulty communicating with their Bahraini colleagues. However, the way work is conducted may differ from Western practices. Small talk is common, and punctuality is highly valued, so it is important to arrive on time for appointments.

Bahrain is known for its diverse and inclusive work culture, with people from various nationalities and backgrounds. The work environment is competitive, and employees are rewarded based on performance rather than nationality. Bahrain's work culture is regarded highly, with nearly 60% of expats stating it is better than in their home country.

The country also offers good opportunities for career progression, with many multinational companies having regional headquarters in Manama, the capital and commercial centre. The job market includes sectors such as oil, banking, tourism, and construction.

In terms of communication, networking is key to finding job opportunities in Bahrain. Sites like LinkedIn are useful for finding vacancies and making connections. The country's central location between Europe, Asia, and Africa also makes it an ideal hub for business and travel.

Overall, Bahrain offers a positive work culture and communication environment for expats, with a mix of a competitive spirit and a welcoming attitude towards foreigners.

Traffic and travel

Bahrain is a great choice for those who want to spend less time in traffic and more time enjoying their surroundings. The country is relatively small, so you can expect to reach your destination in 30 minutes or less. This means you can make the most of your day and won't be stuck in long commutes.

The country's central location between Europe, Asia, and Africa also makes it an ideal base for travel enthusiasts. A long weekend in a neighbouring country or a trip to another continent is easily achievable.

For those who prefer to stay local, there is plenty to explore within Bahrain itself. Nature lovers can visit the Hawar Group of Islands, while history buffs can explore the ancient dhow-making and pearl-farming industries and the A'ali burial mounds. The modern malls with their built-in wind turbines and the various museums showcasing archaic artefacts also add to the country's appeal.

Bahrain's efficient transport system and compact size contribute to a more relaxed and productive lifestyle, making it a refreshing change from the soul-sucking traffic that plagues many other parts of the world.

Religion and conscience

The Constitution of Bahrain states that Islam is the official religion of the country and that Shari'a (Islamic law) is the principal source for legislation. Article 22 of the Constitution provides for freedom of conscience, the inviolability of worship, and the freedom to perform religious rites, hold parades, and meetings, in accordance with the customs observed in the country. However, the government has placed some limitations on these rights.

Religious Demography

According to the 2020 World Religions Database, 82% of Bahrain's population is Muslim, 12% is Christian, and 6% is Hindu. The country also has a small Jewish community. Among Bahraini citizens, 99.8% were Muslim in 2010, with the remaining 0.2% comprising Christians and Jews. When including the non-national population, the Muslim proportion falls to 70.2%.

Freedom of Religion

The Constitution of Bahrain provides for freedom of religion, but there are some limits to this right. Every religious group must obtain a license from the Ministry of Justice and Islamic Affairs (MOJIA) to operate. The government allows religion-based political non-governmental organizations to register as political "societies" and conduct political activities. All religious groups are permitted to maintain their own places of worship and display their religious symbols.

Restrictions on Religious Freedom

The government prohibits anti-Islamic writings and mandates imprisonment for "exposing the state's official religion to offense and criticism." It is also a crime to mock or disdain a religious group. Islamic studies, based on Sunni doctrine, are mandatory for Muslim students from grades one through twelve in public schools.

Status of Religious Minorities

Bahrain's small Jewish community has been safe from attacks and vandalism. While some anti-Zionist political commentary and cartoons have appeared, the Jewish minority is generally respected and allowed to operate freely.

Religious Conversion

While converts to Islam from other religious groups are welcomed into the Muslim community, converts from Islam to other religions are not well-tolerated by society. These individuals often face shunning, discrimination, and even physical abuse.

Education and Religious Instruction

Islamic studies are mandatory for Muslim students and optional for non-Muslims in public schools. Private schools, with a few exceptions, are required to provide Islamic religious education for Muslim students. The government regulates Islamic religious instruction at all levels of the education system.

Women's Rights and Religious Law

The Constitution of Bahrain guarantees women's equality, but "without breaching the provisions" of Shari'a. Women's rights, including divorce, inheritance, marriage, and child custody, are governed by either the Sunni or Shia interpretation of Shari'a law, depending on the individual's faith. While women have the right to initiate a divorce, religious courts may refuse the request.

While Bahrain's Constitution provides for freedom of conscience and religion, there are limitations in practice. The country's religious landscape is dominated by Islam, with a small but diverse range of minority religious groups. Overall, Bahrainis of different beliefs generally respect one another and coexist harmoniously, with religious leaders often interacting and collaborating on peace forums and cultural activities.

Frequently asked questions