Bahrain investments surge to $110 million

Manama / TNS

Bahrain has attracted $110 million in investments and created 1,200 jobs since the beginning of the year, a top official has revealed. However, the aim is to attract double that amount by the end of the year, said Economic Development Board chief executive Khalid Al Rumaihi.
“We think we’ll achieve that,” he said at a media ghabga at the Four Seasons Hotel Bahrain Bay. “From January to the end of May, we’ve achieved about $110m of investments into the country, creating about 1,200 jobs, the lion’s share of which we hope will go to Bahrainis.
“I had previously said I hoped to pass $100m halfway through the year, and we’ve surpassed that now. “We hope to keep going on the same path and that it’s double that figure at the end of the year.” Al Rumaihi also spoke of the four-year plan the board has to present, known as the National Economic Strategy. The government then incorporates the strategy into its action plan and each ministry has its own goals.
“The last National Economic Strategy was done before I assumed my role and will be for the years 2015 to 2018. “One of our main goals is to look at attracting investors and we don’t differentiate between local, regional and international investors.
“We’ve chosen to focus on five sectors that we think Bahrain is very well positioned to attract investments in financial services, manufacturing, logistics, ICT and tourism. “We’ve set up individual teams to focus on each of these sectors and our target is to attract investment primarily for the creation of job opportunities.
“For me, the most important thing that we need to achieve is creating job opportunities. “For every investment, we think about its worth, how many jobs it will create and what annual goals we want to hit.”
He also said the board had to monitor and ensure that a “pipeline of $32 billion worth of capital projects” is executed and achieved. “We don’t want this to be held up by approvals, permits and what have you. We closely monitor these so that they become a reality.
“The amount $32bn is equivalent to Bahrain’s GDP and could transform this country. “So we need to convert $32bn into reality. “Sometimes people hear that number and wonder if it is possible that Bahrain has that much potential for projects.
“The Middle East Economic Digest put their estimate at $60-$70bn, so ours is conservative. “In our figure, we didn’t include the King Hamad Causeway – even though we know it’s a project that will become a reality – because we still haven’t seen blueprints, we don’t have a two-year plan.” Al Rumaihi said projects that they did include in the $32bn pipeline included Diyar Al Muharraq, Durrat Al Bahrain, The Avenues and the Alba expansion.
“When we speak of Bahrain’s future, it’s to have the private sector play a bigger role in improving and growing the economy, so the $32bn isn’t dependent on the budget. “We know each of the project developers and stay in very close touch with them and report back to our chairman, the Crown Prince, and to the government, headed by the Prime Minister.”
The official said he was also “positively surprised with the resilience of the economy” last year and pointed out that it was due to diversification. “Eighty per cent of the economy is in the non-oil sector,” he said. “I think that’s served us very well last year and I think it’ll serve us well in 2016.
“Our view is that the growth we saw of 2.9pc last year was driven by the non-oil sector and the resilience we expect to see growth of 2.5-3pc this year. “I don’t think we’ve see the impact of the GCC Fund yet, nor of the airport’s $1bn expansion, which will trickle down as well.”