Higher Excise Taxes on Tobacco, Soft Drinks, and Energy Drinks in New Budget

TDT | Manama
Email : editor@newsofbahrain.com

Excise taxes on tobacco, soft drinks, and energy drinks will increase as part of efforts to promote public health and curb the consumption of harmful products, while mandatory health insurance for expatriates and visitors will be introduced. The 2025–2026 state budget also includes record spending on infrastructure and a plan to create 25,000 jobs for Bahrainis each year.

At a joint meeting Sunday, ministers and lawmakers reviewed the budget, going over financial plans, proposed projects, and economic measures. The discussions, which involved both the Council of Representatives and the Shura Council, were led by Speaker Ahmed bin Salman Al Musallam, Speaker Ali bin Saleh Al Saleh, and Finance Minister Shaikh Salman bin Khalifa Al Khalifa.

The government has set aside BHD 364 million for infrastructure projects, the largest allocation for public works in recent budget cycles, covering roads, utilities, and services. A sewerage fee will be introduced, though first-time homeowners will be exempt under existing laws.

Healthcare will receive BHD 688 million, with the ‘Choose Your Doctor’ programme—already rolled out in 20 health centres, expanding to seven more.

Employment plans focus on securing 25,000 jobs for Bahrainis each year, including 8,000 positions for recent graduates. The Labour Fund (Tamkeen) will allocate BHD 280 million over two years to training and financial support, reaching 50,000 Bahrainis annually.

Ministers also reviewed spending priorities across government ministries, with further discussions expected on public services, economic growth, and financial planning. The meeting reinforced the cooperation between the legislative and executive authorities in shaping a budget that balances investment in services with long-term financial stability.