The Report: Bahrain 2016

Book excerpt: The energy sector still represents the biggest contributor to the kingdom’s GDP, although its share of the economy has been falling as non-oil sectors continue to drive growth. The kingdom’s financial sector represents the second-largest contributor to GDP, accounting for 16.5% in 2014, with Bahrain recognised as a pioneer in Islamic finance, having been the first country in the world to introduce and implement rules specific to Islamic banking in 2001. Manufacturing is the third-largest GDP contributor, at 14.4% of the total in 2014, with the kingdom home to one of the world’s largest aluminuim smelters. Meanwhile, Bahrain continues to invest in considerable infrastructure upgrades, and these are expected to enhance the kingdom’s logistics offerings, as well as help facilitate greater tourism numbers. For its part, tourism has been identified as an area with significant potential for growth, with the Supreme Council for Tourism created to help guide and develop the sector.