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Bahrain

Introduction to Bahrain

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.

Government

Capital:

Manama

Independence:

15 August 1971 (from UK)

National holiday:

National Day, 16 December (1971); note - 15 August 1971 is the date of independence from the UK, 16 December 1971 is the date of independence from British protection

Economy

Economy overview:

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. Bahrain is dependent on Saudi Arabia for oil granted as aid. 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.

GDP:

purchasing power parity - id=mce_marker1.29 billion (2004 est.)

GDP - composition by sector:

agriculture: 0.7%
industry: 42.1%
services: 57.2% (2004 est.)

Agriculture products:

fruit, vegetables; poultry, dairy products; shrimp, fish

Industries:

petroleum processing and refining, aluminum smelting, offshore banking, ship repairing; tourism

Transportation

Highways:

total: 3,261 km
paved: 2,531 km
unpaved: 730 km (2000)

Pipelines:

gas 20 km; oil 53 km (2003)

Ports and harbors:

Manama, Mina' Salman, Sitrah

Merchant marine:

total: 6 ships (1,000 GRT or over) 219,083 GRT/312,638 DWT
registered in other countries: 2 (2003 est.)
foreign-owned: Hong Kong 1, Kuwait 1
by type: bulk 3, container 2, petroleum tanker 1

Airports:

4 (2003 est.)

Heliports:

1 (2003 est.)