Bahrain sustains growth in non-oil sector

TDT | Manama                           

The Daily Tribune – www.newsofbahrain.com

Reported by Zahra Ayaz

The Kingdom of Bahrain’s first quarter 2023 economic report was reviewed by the Ministry of Finance and National Economy.

According to the economic report, the non-oil sector’s growth of 3.5 percent helped the Kingdom’s economy grow by 2.0 percent annually at constant prices.

The report sheds light on Bahrain’s economic indicators as well as the most important developments in terms of strategic projects and the Kingdom’s performance in global competitiveness indices.

As per the sources, since the start of the implementation of the economic recovery plan, the average quarterly growth on an annual basis of non-oil GDP has reached about 5.7 percent.

On an annual basis, the nonoil economic sectors at constant prices posted positive growth, as the transportation and communications sectors achieved the highest rate, growing by 11.2 percent.

It was supported by the growth of various sector indicators, such as the increase in the number of arrivals through Bahrain International Airport by 42.3 percent and the total aircraft movement, which witnessed an increase of 32.1 percent.

Broadband subscriptions also increased by 5.0 percent. The real estate activities and business services sector grew by 5.3 percent, supported by an increase in the value of real estate trading transactions.

The real estate sector recorded, for the second time in a row, the highest contribution to the GDP, with its contribution reaching 17.8 percent, surpassing the oil sector.

The indicators showed an increase in the value of electronic financial transfers by 17.6 percent, and the total value of bank deposits from non-banks grew by 5.9 percent, as well as an increase in the total value of loans extended to residents, excluding banks, by about 4.3 percent.

As for the hotels and restaurants sector, it recorded a growth of 4.3 percent, the total number of visitors through all outlets witnessed an increase of 71.9 percent, and the increase in hotel occupancy (4 and 5 stars) was about 8.4.

The trade sector recorded a similar growth rate of 4.2 percent, and the statistics of inbound and outbound trucks through the King Fahd Causeway indicate a growth of 16 percent, while new commercial registrations for companies increased by about 10.8 percent. The government services sector grew by 3.5 percent.

Then came social and personal services, which grew by 11 percent, while the manufacturing sector witnessed a decline of about 1.1 percent. As for the building and construction sector, it recorded a decline of 1.3 percent.