Bahrain Financial Market Update

Bahrain cuts spending to tackle inflation
The Shura Council in Bahrain has approved a draft law to roll back government spending and use the savings for measures to tackle rising inflation create facilities and to attract more investment into the country. The Council also called for salary rises in the private and public sectors to help staff cope with high inflation. It wants the government to monitor prices and transparently monitor consumer price index statistics. The council said the government should invest in regions where it can get cheaper food stables, such as farms in Sudan. The Dubai government recently signed deals with several supermarkets in the emirate to fix food commodity prices at 2007 levels, to ease price rises.
Bahrain: 57 minutes ago

Bahrain-Iran trade up 200%
Bahrain's commercial and investment ties with Iran have risen almost 200%, the Bahrain Tribune has reported. Non-oil trade volume rose to $99.5m in 2005, up 195.3% on 2004 trade. The reported figure for 2006 stood at $99.7m.
Bahrain: Sunday, May 04 - 2008 at 09:02

Bahrain official urges spending cuts
The head of Bahrain's state-owned Economic Development Board said the country should rein in state spending to curb inflation, which hit 4.8% in February, reported our sister company Meed. EDB Chief Executive Shaikh Mohammed bin Essa Al Khalifa said growth needs to be curbed 'so inflation can be more manageable'. He also said he is not in favor of currency reevaluation. The EDB is responsible for formulating and overseeing the economic development strategy of the Gulf Arab kingdom.
Bahrain: Thursday, April 10 - 2008 at 11:11

Bahrain's mutual fund assets surge in 2007
Assets under management by Bahrain's mutual funds industry surged by nearly 73% to over $15bn during 2007, the Central Bank of Bahrain said in a statement. The number of funds registered with the CBB rose to 2,483 at the end of December 2007. The net asset value of the registered funds totalled $15.6bn.In comparison, the number of registered funds at 2006-end was 2,199, with assets under management totalling $9 billion.
Bahrain: Thursday, April 03 - 2008 at 07:08

$3 trillion trade surplus for GCC states
Gulf states are predicted to have a trade surplus of $3 trillion by 2020. Delegates at an investment conference in Bahrain were told that central banks and sovereign wealth funds (SWF) today account for 8% of global investments. By 2017 SWFs will be worth $18 trillion - 9% of the worldâ€™s financial wealth. Douglas Hansen-Luke, chief executive for the Middle East at global asset manager Robeco, said the worry for western governments is not that SWFs will keep buying their prized assets, but that they will invest less in their markets than they do today.
Bahrain: Thursday, March 27 - 2008 at 11:42

Inflation payments rubber stamped
Bahrain's Shura Council has given the green light to the country's planned BD40m ($106.5m) anti-inflation package for Bahraini families earning less than BD1,500. It will give them an extra BD50 a month for a year â€' backdated to January - to help them cope with the effects of inflation. The bill was rubber stamped after amendments which the Council objected to were dropped. It must still be signed off King Hamad.
Bahrain: Thursday, March 27 - 2008 at 11:30

Saudi allows Ithmaar on Ithraa
Bahrain's investment bank Ithmaar had received the formal licence from Saudi Arabia's Capital Management Authority to establish an investment bank in Saudi Arabia called Ithraa, cited Bahrain Tribune. The bank also announced it has approved $53.7m cash dividend for shareholders.
Bahrain: Tuesday, March 25 - 2008 at 07:57

Bahrain is fastest growing financial centre
Bahrain is the world's fastest growing financial centre, according to the third edition of The City of London's Global Financial Centres Index. The kingdom rose 59 points in the ranking of the world's financial centres. The GFCI report, which publishes the top 50 rated financial centres, ranks Bahrain 39th, up three places from the previous addition and ahead of neighbouring Qatar. Moreover, Bahrain has raced ahead of a number of other emerging financial centres, previously ranked as higher, such as Mumbai (48th), Beijing (46th) and Johannesburg (41st), reported Yemen Times.
Bahrain: Tuesday, March 18 - 2008 at 12:48

Bahrain deadline for inflation fund passes
The Bahraini cabinet has told parliament to release a BD40m ($106m) fund in the 2008 state budget as soon as possible so that it can give a BD50 inflation allowance to those entitled to the payment. The government had set a March 15 deadline for payments to be made, which has now passed.
Bahrain: Monday, March 17 - 2008 at 07:09

Bahrain targets rogue traders
Rogue traders in Bahrain could be jailed for up to three years, fined 10,000 dinars, and face closure of their busineses under a proposal passed by the Shura council, reported Bahrain’s Gulf Daily News. Producing or selling sub-standard or counterfeit goods, or deliberately misleading consumers through false advertising will be punishable with three-year sentences and fines of up to 5,000 dinars. Those who import substandard or counterfeit goods face up to a year in jail and/or fines of up to 10,000 dinars. Culprits will be obliged to replace the goods or refund the buyer, and if they repeat the offence, their business may be closed for three months or cancelled permanently.
Bahrain: Wednesday, March 12 - 2008 at 11:34