Robust growth in key sectors, FDI flows exceeds BD1.2 billion

TDT | Manama                                                         

The Daily Tribune – www.newsofbahrain.com

The Hotels and Restaurants sector demonstrated robust growth, recording a remarkable 9.4% year-on-year increase during the third quarter, according to preliminary data of the Information and eGovernment Authority.

This surge was propelled by a notable rise in hotel occupancy rates for 4- and 5-star establishments, increasing by two percentage points to 49%. Additionally, total tourism overnights soared by 17.9%, reaching 4.8 million nights.

Financial Corporations

The Financial Corporations sector maintained its momentum, posting an 8.4% year-onyear growth. For the fourth consecutive quarter, this sector claimed the highest contribution to total real GDP among all non-oil sectors, accounting for 18.1%.

Positive performances were observed in various financial indicators, including the Electronic Funds Transfer System (Fawri+, Fawri, and Fawateer), which saw a substantial 15.6% year-on-year growth, reaching BHD 7.2 billion.

Trade sector

The Trade sector experienced a solid 5.9% year-on-year growth, driven by a 5.6% increase in mall footfall and a 5.1% rise in the value of Point of Sale and e-commerce transactions. The Real Estate and Business Activities sector showed resilience with a 2.8% year-on-year growth, fueled by a robust 5.4% increase in real estate activities.

The value of real estate trading climbed by 7.1% year-on-year, reaching BHD 272 million.

FDI surges

The report also highlighted the Kingdom's outstanding performance in foreign direct investment (FDI), with total FDI flows exceeding BHD 1.2 billion in Q3 2023.

The FDI stock reached BHD 15.9 billion, marking a noteworthy year-on-year growth of 19.4%. The Financial and Insurance Services sector led the surge with FDI flows of BHD 1,092.1 million, while the Manufacturing sector attracted flows of BHD 53.2 million during the quarter.

Additionally, the report underscored Bahrain's global competitiveness, noting its improved ranking of 44th globally out of 134 countries in the Global Talent Competitiveness Index 2023 by INSEAD.

Bahrain also ascended 10 spots in the Basel AML Index 2023 by the Basel Institute on Governance, maintaining its 1st rank in the GCC. Globally, Bahrain secured the 4th position in the Islamic Finance Development Report 2023. Furthermore, in the ICT Development Index 2023 published by the International Telecommunications Union (ITU), Bahrain scored 96.5 out of 100 points, solidifying its position among the top ten countries globally.