Finance Minister highlights Bahrain's positive economic outlook

Agencies | Manama                          

The Daily Tribune – www.newsofbahrain.com   

Twenty-one out of 27 programs within the economic recovery plan have been completed, said Finance and National Economy Minister Shaikh Salman bin Khalifa Al Khalifa.

He hailed the support of His Majesty King Hamad bin Isa Al Khalifa, with the follow-up of His Royal Highness Prince Salman bin Hamad Al Khalifa, the Crown Prince and Prime Minister.

He noted that Bahrain continues to record high and qualitative positive indicators in the sectors targeted by the economic recovery plan, as the non-oil GDP recorded until the third quarter of the year 2022 (January-September) a growth of 7.2% at constant prices on an annual basis.

It attracted investments amounting to $1.1 billion during the year 2022 to date, and 10 major development projects have been completed, in addition to the completion of the documentation of more than 1,300 government services and the development of the Service Level Agreement (SLA).

He highlighted the Government's success in reducing administrative expenses, increasing non-oil revenues, and achieving a surplus In the budget for the first half of 2022.

The Minister made the statement as he addressed a press conference which was attended by Laboour Minister Jameel bin Mohammed Ali Humaidan, Central Bank of Bahrain Governor Rashid Mohammed Al Maraj, Municipalities Affairs and Agriculture Minister Wael bin Nasser Al Mubarak, Industry and Commerce Minister Abdulla bin Adel Fakhro and Bahrain Chamber of Commerce and Industry Chairman Sameer Abdulla Nass and other BCCI board members.

He noted that the economic recovery plan includes (5) main objectives: creating promising job opportunities to make the citizen the first choice in the labor market, facilitating commercial procedures and increasing their effectiveness, implementing major development projects, developing promising sectors, financial sustainability and economic stability by achieving financial balance by 2024.

With regard to the general budget, he indicated that thanks to the initiatives and measures taken through the priorities of the economic recovery plan, the Kingdom recorded a surplus in the general budget in the first half of this year, which amounted to approximately 33 million Bahraini dinars for the first time since 2008.

Regarding the growth of economic sectors during the third quarter of 2022 at constant prices on an annual basis, he minister indicated that the growth rate of the hotel and restaurant sector amounted to 14.7%, transportation and communications 8.0%, real estate activities and business services 6.8%, trade 5.9%, industries and manufacturing 5.0%, and government services. 4.6%, financial projects 1.1%, and social and personal services 0.5%.

As for the contribution of the economic sectors to the GDP during the third quarter of 2022 (at constant prices), he noted that the contribution of the non-oil sectors amounted to 82%, while the contribution of the oil sector reached 18%, in reference to the economic diversification that it enjoys.

He pointed out that inflation rates ate expected to reach 3.2% and 2.5% for the years 2022 and 2023, respectively.

He noted that that rates were stable locally despite their global rise, as during the year 2022 the world faced a number of factors that exacerbated inflation rates, such as disruptions in global supply chains due to the coronavirus (COVID-19) pandemic, and wars and conflicts that led to a rise in energy and food prices.