Cabinet approves plan to expand BIIP

Manama : The Cabinet has endorsed a plan to expand the Bahrain International Investment Park (BIIP) to the eastern region of the Salman Industrial City at Al Hidd.  The plan was endorsed at the weekly Cabinet meeting chaired by His Royal Highness Prime Minister Prince Khalifa bin Salman Al Khalifa at Gudaibiya Palace yesterday.

As per the plan, existing ventures in the new area will be extended all incentives provided at BIIP -- zero per cent tax for 10 years, zero restrictions on recruitment for five years as well as duty -free access to GCC markets and 100 per cent foreign ownership.  BIPP expansion is part of the government’s plan to diversify non-oil revenues by attracting investments and developing industrial sector. 

The Cabinet has also decided to extend incentives to aviation companies for the next two years as part of efforts to enhance the competitiveness of the Bahrain International Airport. 

Infrastructure projects 

HRH the Prime Minister was informed about the situation of some infrastructure projects in the Muharraq Governorate, including the Sa’ada (happiness) project linking the city’s traditional market to a modern seafront with recreational, tourism and commercial services and facilities.  Prince Salman has directed to expedite the implementation of the project by floating the tender. In this regard, the Deputy Premier and Chairman of the Ministerial Committee for Urbanisation and Infrastructure updated the Cabinet about the Sa’ada project regarding designs and land acquisition, noting that the project is on right track.

The cabinet was also briefed about “Rayya” Avenue revamp project, work on which will begin as soon as the budget is approved.

GDP growth at 3.9pc 

The Cabinet has reviewed a report on the economic indicators of the third quarter of 2016. A memorandum submitted by the Minister of Industry, Commerce and Tourism revealed that Bahrain’s GDP grew by 3.9 per cent, local and foreign investments went up by 2.7 per cent and 39 industrial projects were granted licenses during the third quarter of 2016, compared with the same quarter of 2015.

Jobless rate at 4pc

Bahrain has maintained an annual unemployment rate at 4 per cent despite the challenges created by the economic conditions, generating 5,885 job opportunities and providing employment to 22,000 Bahraini job seekers, according to official data. Data also showed an increase in the average salary for private sector workers by 3.3 per cent.