The changing face of Bahrain (page 1 of 4)

The globalization has changed the norms of trade by squeezing the world into a global village. In the changed global trade scenario, the location of any country has much to do for the country as well as the international investors.

Nowadays, the countries having important trade routes are important irrespective of their size or political influence. Arabian Gulf Region has been providing trade routes throughout the history. Most of the GCC countries are import oriented having an estimated population of more than 19 million, and added 100 million to adjoining neighboring countries that leads to enormous sales attractions.

As active partners of the world community, the GCC countries are also introducing many structural changes in a bid to attract more FDI to layoff burden on the traditional oil driven economies. The diversification program alone does not attract entrepreneurs to invest in a country. To establish or expand the business ventures, entrepreneurs always remain in search for a place having easy access to other regions.

Bahrain is a place that not only offers plenty of trading opportunities to the business community but its location has been facilitating entrepreneurs to establish their regional base in the country to reap the trading benefits of the entire Middle East. Located half way between the time zones of East and West, Bahrain is enabled to communicate virtually with the entire business world during the working day.

The country comprises smaller and larger islands with total land area of about 706 square kilometers. Its fresh springs made it an early haven for sailors crossing the salty gulf in which Bahrain is located.

Shaikh Hamad bin Isa Al Khalifa of Bahrain (Amir) is ruling since March 1999 with the assistance of his uncle, the Prime Minister Shaikh Khalifa bin Salman Al Khalifa. A Cabinet comprising members from the ruling Al-Khalifa family and a group of experts administers the Government. The country's leadership is determined to turn Bahrain into a constitutional democracy.

In this regard a referendum was held in February 2001 and 98.4 percent of Bahrain's electorate approved a revised constitution. The constitutional transformation program includes a well-defined separation of legislative, judiciary and executive powers by 2004. The reforms are the first of their kinds in the Gulf, granting the right to freedom of speech, expression, and religion, as well as the right to vote and a free trial.

Owing to the fact that the country's oil resources will be maximized by next 10-15 years, the leadership of the country is determined to discover new areas of investment. Accelerating the diversification program, the leadership of the country has been keen to abide by the policy of economic liberalization and openness to stimulate a prosperous and dynamic environment and create appropriate climate to attract private investments.

The government's strategy targets five primary areas for expansion. These are business & financial services, tourism, information technology, telecommunications, healthcare & education. The highest standards of financial regulations, political stability, and strong legal framework have transformed this small country into a high standard commercial area with which other Gulf countries are hard-pressed to compete.

Despite longstanding efforts at diversification, oil and gas continue to play a dominant role in Bahrain's economy.