Property Investment Case Study: Bahrain (TPI-BA-001)
Introduction:
Bahrain's small size and central location among Persian Gulf countries require it to play a delicate balancing act in foreign affairs among its larger neighbors. Facing declining oil reserves, Bahrain has turned to petroleum processing and refining and has transformed itself into an international banking center. The new amir, installed in 1999, has pushed economic and political reforms and has worked to improve relations with the Shi'a community. In February 2001, Bahraini voters approved a referendum on the National Action Charter - the centerpiece of the amir's political liberalization program. In February 2002, Amir HAMAD bin Isa Al Khalifa proclaimed himself king. In October 2002, Bahrainis elected members of the lower house of Bahrain's reconstituted bicameral legislature, the National Assembly.
Location:
The Kingdom of Bahrain, or Bahrain (formerly spelled Bahrein), is a borderless island nation in the Persian Gulf (Southwest Asia/Middle East, Asia). Saudi Arabia lies to the west and is connected to Bahrain by the King Fahd Causeway, and Qatar is to the south across the Persian Gulf.
The State of Bahrain is an archipelago of 33 small, low-lying islands in the Persian Gulf, halfway down the east coast of Saudi Arabia and about 15 miles from the Saudi mainland. Total land area is about 300 square miles.
Five of the six principal islands are linked by a causeway system. Bahrain Island, where the capital city of Manama is located, is the largest. It is about 30 miles long and 10–12 miles wide. A four-lane causeway links Manama with the island and town of Muharraq, site of the newly expanded international airport. Bridges also connect Sitra, Nabih Saleh, and Um al-Nassan Islands to Bahrain Island, which is linked to the mainland of Saudi Arabia by a causeway to Dhahran and Al-Khobar.
Economy:
In well-to-do Bahrain, petroleum production and refining account for about 60% of export receipts, 60% of government revenues, and 30% of GDP.
With its highly developed communication and transport facilities, Bahrain is home to numerous multinational firms with business in the Gulf. A large share of exports consist of petroleum products made from refining imported crude. Construction proceeds on several major industrial projects. Unemployment, especially among the young, and the depletion of oil and underground water resources are major long-term economic problems. I
n September 2004 Bahrain signed a Free Trade Agreement (FTA) with the United States - the first such agreement undertaken by a Gulf state. Both countries must ratify the FTA before it is enforced.
More than 100 offshore banking units and representative offices are located in Bahrain, as well as 65 American firms.
Property Market:
No data available
Examples:
Attractions:
No data available
Transport Infrastructure:
No data available
Local Mortgage:
No data available
Inflation:
No data available
Economic Growth:
GDP 5.6% (2004 est.)
Sunshine Days:
No data available
Annual Rainfall:
No data available
Temperatures:
Winter: No data available
Summer: No data available
Property Price Inflation:
No data available
Local Currency:
Bahraini dinar (BHD)
Cost of Living Index:
No data available
Income Tax:
No data available
Property Tax:
No data available
Capital Gains Tax:
No data available
Buying and Selling Costs:
No data available
Rental Yields:
No data available
Report Compiled By:
To download this case study in a handy pdf format use the link below:
Download Case Study TPI-BA-001
Report ref: TPI-BA-001
Date created: 12-01-2006