Bahrain’s real gross domestic product (GDP) grew by an estimated 3.88 per cent in 2017 to reach BD12.41bn ($33bn), according to data obtained by MEED from the Information and eGovernment Authority.
This growth is higher than the 2.48 per cent forecast made by the Washington-based International Monetary Fund (IMF) last year.
2016 | 2017 | Annual growth | |
Real GDP (BD bn) Source: IMF | 11.917 | 12.212 | 2.48% |
Real GDP (BD bn) Source: Information & eGovernment Authority | 11.945 | 12.409 | 3.88% |
The country’s hospitality, social services and trading sectors led the growth at 9.45 per cent, 9.38 per cent, and 8.54 per cent, respectively.
However, these three sectors together account for only 13 per cent of the state’s economy
Crude oil, petrochemicals and natural gas is still the largest sector, accounting for about 18 per cent of the economy, followed by financial services (17 per cent) and manufacturing (15 per cent).
Unlike the rest of the GCC states, the non-oil sector dominates Bahrain’s economy.
However, this is expected to change with the recent oil discovery off the country’s west coast.
The government’s fiscal deficit and external debt are expected to remain high, at around 12.2 per cent and 90 per cent of the GDP, according to the IMF.
Bahrain GDP by sector (year-on-year growth)
Sector | 2015 | 2016 | 2017 |
Crude, petrochemical & natural gas | -0.10 | -0.10 | -0.75 |
Manufacturing | 3.20 | 1.30 | 1.05 |
Construction | 5.90 | 5.70 | 1.75 |
Trade | 2.11 | 3.00 | 8.54 |
Hotels and restaurants | 3.04 | 2.00 | 9.45 |
Transport and communications | 6.81 | 3.20 | 4.60 |
Social and personal services | 3.52 | 9.10 | 9.38 |
Real estate and business activities | 1.74 | 2.80 | 5.50 |
Finance | 4.50 | 5.20 | 4.97 |
Government | 2.20 | 2.50 | 3.75 |
Other | 7.91 | 3.60 | 16.23 |
Total | 2.86 | 3.00 | 3.88 |
Source: Information and eGovernment Authority
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