RIYADH: Financial services investments helped Bahrain register a 55 percent year-on-year increase in funding during 2023 as it secured a record $1.7 billion across its economy.
According to the country’s official news agency, this “massive influx” generated by Bahrain’s Economic Development Board stems from 85 local and international projects, which are projected to generate upwards of 5,700 job opportunities over a three-year period.
The employment opportunities will span across multiple priority sectors in hopes of promoting sustainable growth and economic diversification.
Among the divisions, the highest number of investments was in the financial services field, which saw a record-breaking year in 2023, overtaking oil and gas as the largest contributor to the nation’s economy.
This was demonstrated by the sector’s 17.5 percent contribution to the country’s gross domestic product.
Similarly, the information and communication technology domain also secured a “healthy pipeline” of investments, which BNA stated is set to spur additional innovation within the sector.
This will further aid in enhancing the digital transformation efforts across all sectors of Bahrain’s economy, as well as digitizing government services and adopting artificial intelligence-led solutions.
The third highest investments were in the manufacturing sector, which underscores the country’s strategic location as a “gateway” to the Gulf Cooperation sector and its manufacturing capabilities, BNA said.
The Governor of the Central Bank of Bahrain, Khalid Humaidan, described 2023 as a “milestone year” for Bahrain EDB., adding: “Backed by the agile support of Team Bahrain, a record upwards of $1.7 billion in direct local and international investments were attracted into multiple sectors, which will effectively contribute to sustainable economic growth, boosting employment and training opportunities within the local workforce.”
He added: “Bahrain’s FDI stock relative to GDP is well above the global average rate at around 82%, which stands as a testament to the robust trust investors place in Bahrain’s competitive value proposition. FDI remains a strong contributor to Bahrain’s continued success story as an agile, steadily growing, and diversified economy.”
