BD4.3 billion lifeline

TDT | Manama

Bahrain yesterday announced a BD 4.3 billion economic stimulus package to support the country’s citizens and private sector and counter the effects of the coro- navirus (COVID-19).

The unprecedented package of policy measures was announced by ministers yesterday at a press conference held in the capital.

The measures, outlined in the eight-point stimulus package, ministers said, are meant to directly support citizens, residents and businesses in the Kingdom.

The BD 4.3 billion package is equivalent to 29.6 per cent of Bahrain’s annual GDP.

The move is as directed by His Majesty King Hamad bin Isa Al Khalifa and as advised by the HRH Prince Salman bin Hamad Al Khalifa, the Crown Prince, Deputy Supreme Commander and First Deputy Prime Minister. 

The package

1. Includes a draft law for paying the salaries of all private-sector employees for three months, starting April 2020, from the             unemployment fund.

2. Will cover the cost of Electricity and Water Authority utility bills of individuals’ and businesses’, up to the costs incurred during       the same period in 2019, for three months from April 2020. The deal also calls for restructuring government administrative           costs to offset additional costs incurred by the government.

3. Exempts all individuals and businesses from municipal fees for three months from April 2020

4. Exempts all businesses from industrial land rental fees for three months from April 2020

5. Exempts all tourism-related industry from tourism levies for three months from April 2020

6. Doubles Liquidity Support Fund to BD 200 million

7. Ups Central Bank of Bahrain’s loan facilities to BD 3.7bn to allow debt instalments to be deferred and extra credit to be                 extended

8. Allows redirection of all Tamkeen programmes (semi-autono- mous government agency that provides loans and assistance  to       businesses) to support adversely affected companies, as well as the restructuring of all debts issued by Tamkeen