{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

f_0016389_14187 - Bahrains Economic Triad Liberalization...

Info icon This preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Spring 2009 The Ambassadors REVIEW 50 Bahrain’s Economic Triad: Liberalization, Growth and Stability J. Adam Ereli United States Ambassador to Bahrain he Kingdom of Bahrain is unique. A tiny archipelago only 250 square miles in area, Bahrain has slightly over one million residents, almost half of whom are foreigners. Located along historical trade routes moving goods from east to west, Bahrain has been inhabited by traders for thousands of years. This has resulted in one of the most open societies in the region—both culturally and economically. Openness is not only a hallmark of Bahrain’s past, but is the key to the country’s strategic plans for the future as well. Economically, Bahrain stands in stark contrast to its oil-exporting neighbors in the Arabian Gulf. Although it sits only 20 miles off the east coast of Saudi Arabia and the world’s largest oil reserve, Bahrain’s only oil field produces less than 35,000 barrels of oil per day. Located west of the world’s largest natural gas field, which Qatar and Iran share, Bahrain also has relatively little natural gas. As a result of its small size and meager natural resources, one would expect that Bahrain would not be a major contender in the world economy. However, this is not the case. For many years the Bahraini leadership has made a concerted effort to modernize, liberalize, and diversify its economy, while simultaneously investing in its most important resource—its people. As a result of these efforts, Bahrain has not only created a modern, service-based economy and established itself as the financial capital of the region, but positioned itself well to weather the economic storm that is buffeting the world. Economic Liberalization Leads to Investment The Government of Bahrain has substantially liberalized Bahrain’s economy over the past decade, passing laws allowing foreign property ownership, establishment of foreign companies without a local partner, reducing or eliminating taxes and tariffs, and divesting government ownership and control in key industries. The government has also tightened its anti-money laundering laws and enhanced the Central Bank’s oversight and regulation of financial institutions. Following the creation of a Supreme Privatization Council in the spring of 2001, King Hamad bin Isa Al-Khalifa also issued a decree in October 2002 that outlined a strategy for privatizing numerous sectors including tourism, telecommunications, transportation, electricity and water, ports and airport services, oil and gas, and postal services.
Image of page 1

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern