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EIU Bahrain

Overview

The rule of the king, Hamad bin Isa al-Khalifa, is generally stable, but tensions will persist between the Sunni-dominated political elite and the generally less well-off Shia majority. The main opposition group, the Shia-based, Islamist-leaning al-Wefaq National Islamic Society, is the largest party in parliament, but as parliament's powers are heavily circumscribed, its influence is limited. Official policy is likely to focus on improving economic conditions, facilitated by high oil prices, rather than on the constitutional reforms that the opposition seek. Frequent street protests are likely to continue. Internationally, the US, the UK and Saudi Arabia will remain Bahrain's key allies. Although relations with Iran will remain publicly cordial, the government will continue to be concerned about the Iranian nuclear programme and about the extent of Iran's influence over Bahrain's Shia-led opposition groups. Rising public spending will be facilitated by high oil prices, which will keep export earnings and government revenue strong despite declining oil output. Buoyed by the regional oil boom, real GDP growth will average 6.1% in 2008-09, reflecting both the strength of oil prices and robust regional demand for Bahrain's financial services.

Key Reports Available for Bahrain
  • Country Report
  • Country Profile
  • Country Risk Service
  • Basic Data

    Land area
    712 sq km (approximate, owing to ongoing, extensive land reclamation projects)
    Population
    1,039,297 (end-2007), of whom 527,433 are Bahraini nationals, according to the Central Bank of Bahrain, which puts overall population growth in 2007 at 8.21%, with the Bahraini population growing by 4.3%
    Main towns
    Population (April 2001, official census)
    Manama (capital): 153,395
    Muharraq: 91,939
    Climate
    Hot, very humid summer (April to September); temperate December to March
    Weather in Manama (altitude 5 metres)
    Hottest month, August, 29-38°C; coldest month, January, 14-20°C (average daily minimum and maximum); 70 mm average annual rainfall; driest months, June-October; wettest months, November, December, February
    Language
    Official language is Arabic; English also widely used
    Measures
    Metric system; also local measures including: 1 dhara=48.26 cm, 1 rafa=254 kg
    Currency
    Bahraini dinar (BD)=1,000 fils. Average exchange rate in 2007: BD0.376:US$1. Exchange rate on January 12th 2009: BD0.376:US$1
    Time
    3 hours ahead of GMT
    Fiscal year
    January 1st-December 31st
    Public holidays
    The dates of Islamic holidays are based on the lunar calendar and are therefore approximate. Prophet Mohammed's birthday (March 9th 2009); Labour Day (May 1st); Eid al-Fitr (September 21st 2009); Eid al-Adha (November 26th 2009); National Day (December 16th 2009); New Year's Day (January 1st 2009); Islamic New Year (Muharram; December 18th 2009); Ashura (December 28th 2009)
    SOURCE: Country Profile


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