Fresh data point to a welcome return to form for Bahrain’s economy, thanks in part to inward investments and financial support from other Gulf states. A new report suggests it could be in for a near 3% GDP growth. However, austerity measures designed to limit budgetary shortfalls would place a cap on growth levels.
Over the past two years, the authorities ended subsidies extended to meat and reduced fuel subsidies. For instance, the price for premium petrol products was increased by 60 per cent overnight.
Kuwait is offering critical support for financing expansion of road projects throughout the country. The financial aid is part of a move by four GCC countries to help both Bahrain and Oman overcome socioeconomic challenges by allocating funds for infrastructure projects.