Bahrain’s construction sector growth on track

TDT | Manama                                                             

The Daily Tribune – www.newsofbahrain.com

Reported by Zahra Ayaz

Bahrain’s construction industry is expected to grow by 4 percent this year, according to the Central Informatics Organisation of Bahrain (CIO).

The growth rate for the previous year was 1.8%, and between 2024 and 2027, it is expected to rise at a pace of 4.6% annually, with the help of investments in the housing, transportation infrastructure, and oil sectors.

The potential of Bahrain’s construction industry resides in the advantages it will receive from several major initiatives that are currently underway. As per the report, the growth has been fuelled by the country’s long-term efforts to diversify its economy, efforts that have led to the emergence of Bahrain as the financial capital of the Middle East.

It has also led to multinational companies establishing their Middle Eastern bases in the country, attracted by favourable tax policies and strategies. Over the forecast period, the industry’s growth will also be supported by foreign direct investment (FDI).

During the first nine months of 2022, the Bahrain Economic Development Board attracted BD346.3 million in foreign direct investments into key sectors such as ICT, information and communications technology, logistics, manufacturing, tourism, and financial services.

The Kingdom has BD30.8 billion worth of projects in the construction industry in various stages. Some of the major projects currently under construction are the BD3.4 billion Amwaj Islands Diyar Al Muharraq Development Project, the BD2.8 billion Bahrain International Airport Expansion Project, and the BD2.1 billion Sitra Oil Refinery Expansion Project.

The key sectors in the Bahrain construction market are commercial construction, industrial construction, infrastructure, energy and utilities, institutional construction, and residential construction.

The youth can hold the power to reshape economies and societies in the region, and to fulfill their potential, it is crucial to invest in them, in their education, to progress the region in terms of competitiveness, innovation, and prosperity.

Bahrain and other GCC countries hold the responsibility to assist in the promotion of stability in the region. Lassouaoui said that the IPU conference can help shed light on important topics and issues that can assist in achieving regional stability. “We do not have many opportunities to share our work and expand our networks."

"Moreover, the IPU Assembly (Inter-Parliamentary Union) is essential as parliamentarians from all over the world are gathered here, which encourages those to speak up and share recommendations and feedback,” he said. “I commend the Kingdom of Bahrain for hosting the conference, and I see the tremendous dedication it holds in terms of investments,” he added.