‘Bahrain’s GDP growth to double this year, to reach 2.8%’

TDT | Manama
Email : editor@newsofbahrain.com

Bahrain’s economy is expected to gather pace this year, with GDP growth forecast to double to 2.8 per cent, led once again by the non-oil sector.

Across the Gulf, overall growth is projected to reach 4 per cent in 2025, despite continued global unease.

The figures come from a report by the Institute of Chartered Accountants in England and Wales (ICAEW), which notes that this marks a 1.8 percentage point rise on 2024’s estimated growth across the Gulf Cooperation Council (GCC) states.

The report points to Bahrain’s hosting of Gateway Gulf in November last year, held under the banner Investing in a Rapidly Transforming Region. The event wrapped up with $12 billion worth of deals across finance, tourism, real estate, and industry — reflecting Bahrain’s ongoing effort to branch out beyond oil.

In Bahrain, the non-oil economy is expected to grow by 3.1 per cent in 2025. The oil sector, meanwhile, is set to recover and lend support.

Expansion
The labour market is likely to expand, with gains in financial services, insurance, and hospitality.

Overhaul
Bahrain’s 2030 economic blueprint is expected to increase capacity and give the energy sector a lift. Oil growth for 2025 is forecast at 0.9 per cent.

Oil output across the Gulf is also expected to rise from April, following two years of contraction.

Estimate
That push includes the $6 billion overhaul of the Bapco refinery.

The upgrade, part of Bahrain’s broader strategy, aims to boost the sector’s capacity.

Saudi Arabia’s production is forecast to reach 9.3 million barrels per day this year — up slightly from last year’s 9.1 million — raising the kingdom’s oil sector growth estimate to 1.9 per cent, compared to an earlier projection of 1 per cent.