Published on March 9, 2010

Country Report

Bahrain

Introduction

Background: In 1783, the al-Khalifa family captured Bahrain from the Persians. In order to secure these holdings, it entered into a series of treaties with the UK during the 19th century that made Bahrain a British protectorate. The archipelago attained its independence in 1971. 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. King HAMAD bin Isa al-Khalifa, after coming to power in 1999, pushed economic and political reforms to improve relations with the Shia community. Shia political societies participated in 2006 parliamentary and municipal elections. Al Wifaq, the largest Shia political society, won the largest number of seats in the elected chamber of the legislature. However, Shia discontent has resurfaced in recent years with street demonstrations and occasional low-level violence.

Geography

Location: Middle East, archipelago in the Persian Gulf, east of Saudi Arabia

Geographic coordinates: 26 00 N, 50 33 E

Area:
total: 741 sq km
land: 741 sq km
water: 0 sq km

Area - comparative: 3.5 times the size of Washington, DC

Land boundaries: 0 km

Coastline: 161 km

Maritime claims:
territorial sea: 12 nm
contiguous zone: 24 nm
continental shelf: extending to boundaries to be determined

Climate: arid; mild, pleasant winters; very hot, humid summers

Terrain: mostly low desert plain rising gently to low central escarpment

Elevation extremes:
lowest point: Persian Gulf 0 m
highest point: Jabal ad Dukhan 122 m

Natural resources: oil, associated and nonassociated natural gas, fish, pearls

Land use:
arable land: 2.82%
permanent crops: 5.63%
other: 91.55% (2005)

Irrigated land: 40 sq km (2003)

Total renewable water resources: 0.1 cu km (1997)

Freshwater withdrawal (domestic/industrial/agricultural):
total: 0.3 cu km/yr (40%/3%/57%)
per capita: 411 cu m/yr (2000)

Natural hazards: periodic droughts; dust storms

Environment - current issues: desertification resulting from the degradation of limited arable land, periods of drought, and dust storms; coastal degradation (damage to coastlines, coral reefs, and sea vegetation) resulting from oil spills and other discharges from large tankers, oil refineries, and distribution stations; lack of freshwater resources (groundwater and seawater are the only sources for all water needs)

Environment - international agreements:
party to: Biodiversity, Climate Change, Climate Change-Kyoto Protocol, Desertification, Hazardous Wastes, Law of the Sea, Ozone Layer Protection, Wetlands
signed, but not ratified: none of the selected agreements

Geography - note: close to primary Middle Eastern petroleum sources; strategic location in Persian Gulf, through which much of the Western world's petroleum must transit to reach open ocean

People

Population:
728,709
note: includes 235,108 non-nationals (July 2009 est.)

Age structure:
0-14 years: 25.9% (male 95,224/female 93,241)
15-64 years: 70.2% (male 292,941/female 217,729)
65 years and over: 3.9% (male 15,106/female 13,544) (2009 est.)

Median age:
total: 30.1 years
male: 33.2 years
female: 26.7 years (2009 est.)

Population growth rate: 1.292% (2009 est.)

Birth rate: 17.01 births/1,000 population (2009 est.)

Death rate: 4.29 deaths/1,000 population (July 2009 est.)

Net migration rate: 0.2 migrant(s)/1,000 population (2009 est.)

Urbanization:
urban population: 89% of total population (2008)
rate of urbanization: 1.8% annual rate of change (2005-10 est.)

Sex ratio:
at birth: 1.03 male(s)/female
under 15 years: 1.02 male(s)/female
15-64 years: 1.34 male(s)/female
65 years and over: 1.12 male(s)/female
total population: 1.24 male(s)/female (2009 est.)

Infant mortality rate:
total: 15.09 deaths/1,000 live births
male: 17.5 deaths/1,000 live births
female: 12.61 deaths/1,000 live births (2009 est.)

Life expectancy at birth:
total population: 75.19 years
male: 72.67 years
female: 77.78 years (2009 est.)

Total fertility rate: 2.5 children born/woman (2009 est.)

HIV/AIDS - adult prevalence rate: 0.2% (2001 est.)

HIV/AIDS - people living with HIV/AIDS: fewer than 600 (2007 est.)

HIV/AIDS - deaths: fewer than 200 (2003 est.)

Nationality:
noun: Bahraini(s)
adjective: Bahraini

Ethnic groups: Bahraini 62.4%, non-Bahraini 37.6% (2001 census)

Religions: Muslim (Shia and Sunni) 81.2%, Christian 9%, other 9.8% (2001 census)

Languages: Arabic, English, Farsi, Urdu

Literacy:
definition: age 15 and over can read and write
total population: 86.5%
male: 88.6%
female: 83.6% (2001 census)

School life expectancy (primary to tertiary education):
total: 15 years
male: 14 years
female: 16 years (2006)

Education expenditures: 3.9% of GDP (1991)

Government

Country name:
conventional long form: Kingdom of Bahrain
conventional short form: Bahrain
local long form: Mamlakat al Bahrayn
local short form: Al Bahrayn
former: Dilmun

Government type: constitutional monarchy

Capital:
name: Manama
geographic coordinates: 26 14 N, 50 34 E
time difference: UTC+3 (8 hours ahead of Washington, DC during Standard Time)

Administrative divisions:
5 governorates; Asamah, Janubiyah, Muharraq, Shamaliyah, Wasat
note: each governorate administered by an appointed governor

Independence: 15 August 1971 (from the UK)

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

Constitution: adopted 14 February 2002

Legal system: based on Islamic law and English common law; has not accepted compulsory ICJ jurisdiction

Suffrage: 20 years of age; universal

Executive branch:
chief of state: King HAMAD bin Isa Al-Khalifa (since 6 March 1999); Heir Apparent Crown Prince SALMAN bin Hamad Al-Khalifa (son of the monarch, born 21 October 1969)
head of government: Prime Minister KHALIFA bin Salman Al-Khalifa (since 1971); Deputy Prime Ministers ALI bin Khalifa bin Salman Al-Khalifa, MUHAMMAD bin Mubarak Al-Khalifa, Jawad al-ARAIDH
cabinet: Cabinet appointed by the monarch
elections: the monarchy is hereditary; prime minister appointed by the monarch

Legislative branch:
bicameral legislature consists of the Consultative Council (40 members appointed by the King) and the Council of Representatives or Chamber of Deputies (40 seats; members directly elected to serve four-year terms)
elections: Council of Representatives - last held November-December 2006 (next election to be held in 2010)
election results: Council of Representatives - percent of vote by society - NA; seats by society - al Wifaq (Shia) 17, al Asala (Sunni Salafi) 5, al Minbar (Sunni Muslim Brotherhood) 7, independents 11; note - seats by society as of February 2007 - al Wifaq 17, al Asala 8, al Minbar 7, al Mustaqbal (Moderate Sunni pro-government) 4, unassociated independents (all Sunni) 3, independent affiliated with al Wifaq (Sunni oppositionist) 1

Judicial branch: High Civil Appeals Court

Political parties and leaders: political parties prohibited but political societies were legalized per a July 2005 law

Political pressure groups and leaders:
Shia activists; Sunni Islamist legislators
other: several small leftist and other groups are active

International organization participation: ABEDA, AFESD, AMF, FAO, G-77, GCC, IAEA, IBRD, ICAO, ICC, ICCt (signatory), ICRM, IDA, IDB, IFC, IFRCS, IHO, ILO, IMF, IMO, IMSO, Interpol, IOC, IOM (observer), IPU, ISO, ITSO, ITU, ITUC, LAS, MIGA, NAM, OAPEC, OIC, OPCW, PCA, UN, UNCTAD, UNESCO, UNIDO, UNWTO, UPU, WCO, WFTU, WHO, WIPO, WMO, WTO

Diplomatic representation in the US:
chief of mission: Ambassador Houda Ibrahim Ezra NUNU
chancery: 3502 International Drive NW, Washington, DC 20008
telephone: [1] (202) 342-1111
FAX: [1] (202) 362-2192
consulate(s) general: New York

Diplomatic representation from the US:
chief of mission: Ambassador Joseph Adam ERELI
embassy: Building #979, Road 3119 (next to Al-Ahli Sports Club), Block 331, Zinj District, Manama
mailing address: PSC 451, Box 660, FPO AE 09834-5100; international mail: American Embassy, Box 26431, Manama
telephone: [973] 1724-2700
FAX: [973] 1727-0547

Flag description: red, the traditional color for flags of Persian Gulf states, with a white serrated band (five white points) on the hoist side; the five points represent the five pillars of Islam

Economy

Economy - overview: Bahrain is one of the most diversified economies in the Persian Gulf. Highly developed communication and transport facilities make Bahrain home to numerous multinational firms with business in the Gulf. As part of its diversification plans, Bahrain implemented a Free Trade Agreement (FTA) with the US in August 2006, the first FTA between the US and a Gulf state. Bahrain's economy, however, continues to depend heavily on oil. Petroleum production and refining account for more than 60% of Bahrain's export receipts, 70% of government revenues, and 11% of GDP (exclusive of allied industries). Other major economic activities are production of aluminum - Bahrain's second biggest export after oil - finance, and construction. Bahrain competes with Malaysia as a worldwide center for Islamic banking. Future economic growth hinges on Bahrain's ability to acquire new natural gas supplies as feedstock to support its expanding petrochemical and aluminum industries. Unemployment, especially among the young, is a long-term economic problem Bahrain struggles to address. In 2009, to help reduce unemployment among Bahraini nationals, Bahrain reduced sponsorship for expatriate workers, increasing the costs of employing foreign labor. The global financial crisis caused funding for many non-oil projects to dry up and resulted in slower economic growth for Bahrain. Lower oil prices also caused Bahrain's budget to slip back into deficit for the first time since 2002, prompting Bahrain to issue an emergency budget supplement and finance its deficits with bonds.

GDP (purchasing power parity):
$28 billion (2009 est.)
note: data are in 2009 US dollars

GDP (official exchange rate): $19.36 billion (2009 est.)

GDP - real growth rate: 2.9% (2009 est.)

GDP - per capita (PPP):
$38,400 (2009 est.)
note: data are in 2009 US dollars

GDP - composition by sector:
agriculture: 0.5%
industry: 58%
services: 41.5% (2009 est.)

Labor force:
595,000
note: 44% of the population in the 15-64 age group is non-national (2009 est.)

Labor force - by occupation:
agriculture: 1%
industry: 79%
services: 20% (1997 est.)

Unemployment rate: 15% (2005 est.)

Population below poverty line: NA%

Household income or consumption by percentage share:
lowest 10%: NA%
highest 10%: NA%

Investment (gross fixed): 27% of GDP (2009 est.)

Budget:
revenues: $5.809 billion
expenditures: $5.86 billion (2009 est.)

Public debt: 30.1% of GDP (2009 est.)

Inflation rate (consumer prices): 3% (2009 est.)

Commercial bank prime lending rate: NA% (31 December 2008)

Stock of money: $NA (31 December 2008)

Stock of quasi money: $NA (31 December 2008)

Stock of domestic credit: $NA (31 December 2008)

Market value of publicly traded shares: $21.18 billion (31 December 2008)

Agriculture - products: fruit, vegetables; poultry, dairy products; shrimp, fish

Industries: petroleum processing and refining, aluminum smelting, iron pelletization, fertilizers, Islamic and offshore banking, insurance, ship repairing, tourism

Industrial production growth rate: -0.5% (2009 est.)

Electricity - production: 10.25 billion kWh (2007 est.)

Electricity - consumption: 10.1 billion kWh (2007 est.)

Electricity - exports: 0 kWh (2008 est.)

Electricity - imports: 0 kWh (2008 est.)

Oil - production: 48,520 bbl/day (2008 est.)

Oil - consumption: 38,000 bbl/day (2008 est.)

Oil - exports: 238,300 bbl/day (2007 est.)

Oil - imports: 228,400 bbl/day (2007 est.)

Oil - proved reserves: 124.6 million bbl (1 January 2009 est.)

Natural gas - production: 12.64 billion cu m (2008 est.)

Natural gas - consumption: 12.64 billion cu m (2008 est.)

Natural gas - exports: 0 cu m (2008 est.)

Natural gas - imports: 0 cu m (2008 est.)

Natural gas - proved reserves: 92.03 billion cu m (1 January 2009 est.)

Current account balance: $1.808 billion (2009 est.)

Exports: $12.5 billion (2009 est.)

Exports - commodities: petroleum and petroleum products, aluminum, textiles

Exports - partners: India 4%, Saudi Arabia 3.4%, UAE 2.2% (2008)

Imports: $10.37 billion (2009 est.)

Imports - commodities: crude oil, machinery, chemicals

Imports - partners: Saudi Arabia 26%, Japan 8.7%, US 7.6%, China 6%, Germany 4.7%, South Korea 4.6%, UK 4.4% (2008)

Reserves of foreign exchange and gold: $3.465 billion (31 December 2009 est.)

Debt - external: $10.87 billion (31 December 2009 est.)

Stock of direct foreign investment - at home: $16.18 billion (31 December 2009 est.)

Stock of direct foreign investment - abroad: $10.04 billion (31 December 2009 est.)

Exchange rates: Bahraini dinars (BHD) per US dollar - 0.376 (2009), 0.376 (2008), 0.376 (2007), 0.376 (2006), 0.376 (2005)

Communications

Telephones - main lines in use: 220,000 (2008)

Telephones - mobile cellular: 1.4 million (2008)

Telephone system:
general assessment: modern system
domestic: modern fiber-optic integrated services; digital network with rapidly growing use of mobile-cellular telephones
international: country code - 973; landing point for the Fiber-Optic Link Around the Globe (FLAG) submarine cable network that provides links to Asia, Middle East, Europe, and US; tropospheric scatter to Qatar and UAE; microwave radio relay to Saudi Arabia; satellite earth station - 1 (2007)

Radio broadcast stations: AM 2, FM 3, shortwave 0 (1998)

Television broadcast stations: 4 (1997)

Internet country code: .bh

Internet hosts: 51,489 (2009)

Internet users: 402,900 (2008)

Transportation

Airports: 3 (2009)

Airports - with paved runways:
total: 3
over 3,047 m: 2
2,438 to 3,047 m: 1 (2009)

Heliports: 1 (2009)

Pipelines: gas 20 km; oil 32 km (2009)

Roadways:
total: 3,851 km
paved: 3,121 km
unpaved: 730 km (2007)

Merchant marine:
total: 9
by type: bulk carrier 4, container 4, petroleum tanker 1
foreign-owned: 6 (Kuwait 5, UAE 1) (2008)

Ports and terminals: Mina' Salman, Sitrah

Military

Military branches: Bahrain Defense Forces (BDF): Ground Force (includes Air Defense), Naval Force, Air Force, National Guard

Military service age and obligation: 17 years of age for voluntary military service; 15 years of age for NCOs, technicians, and cadets; no conscription (2008)

Manpower available for military service:
males age 16-49: 210,938
females age 16-49: 170,471 (2008 est.)

Manpower fit for military service:
males age 16-49: 171,004
females age 16-49: 144,555 (2009 est.)

Manpower reaching militarily significant age annually:
male: 6,612
female: 6,499 (2009 est.)

Military expenditures: 4.5% of GDP (2006)

Transnational Issues

Disputes - international: none

Trafficking in persons:
current situation: Bahrain is a destination country for men and women trafficked for the purposes of involuntary servitude and commercial sexual exploitation; men and women from Africa, South Asia, and Southeast Asia migrate voluntarily to Bahrain to work as laborers or domestic servants where some face conditions of involuntary servitude such as unlawful withholding of passports, restrictions on movements, non-payment of wages, threats, and physical or sexual abuse; women from Thailand, Morocco, Eastern Europe, and Central Asia are trafficked to Bahrain for the purpose of commercial sexual exploitation
tier rating: Tier 2 Watch List - Bahrain is on the Tier 2 Watch List for failing to show evidence of increased efforts to combat human trafficking, particularly efforts that enforce laws against trafficking in persons, and that prevent the punishment of victims of trafficking; during 2007, Bahrain passed a comprehensive law prohibiting all forms of trafficking in persons; the government also established a specialized anti-trafficking unit within the Ministry of Interior to investigate trafficking crimes; however, the government did not report any prosecutions or convictions for trafficking offenses during 2007, despite reports of a substantial problem of involuntary servitude and sex trafficking (2008)