CONSTRUCTION MARKET IN BAHRAIN

In 2022, the construction market in Bahrain was valued at $8.5 billion and is expected to attain an AAGR of over 4% from 2024 to 2027. The industry's growth during the forecast period will be bolstered by foreign direct investment (FDI) in essential sectors such as financial services, ICT, logistics, manufacturing, and tourism.

Bahrain's construction sector is being propelled by significant government initiatives aimed at investing in major construction projects. Furthermore, the economic development board is supporting various labor market reforms that could stimulate growth and enhance productivity and output in the construction sector. However, Bahrain's construction industry contracted in 2020 due to the dual impact of the COVID-19 outbreak and a decline in oil prices. Despite this, the expenses associated with initiating and operating construction projects in Bahrain are lower than in other GCC countries. Additionally, Bahrain's "free zone" policy allows for 100% foreign ownership of businesses and real estate, as well as the unrestricted flow of profits, capital, and dividends for investors.

BAHRAIN Project
Industry in a snapshot

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240+ Billion USD

Worth of Projects

3,200+

Projects tracked

3,000+

Construction Companies tracked

1.2+ Billion USD

Awarded Contracts

Economic Updates: Bahrain

S&P has reported that the government of Bahrain intends to increase non-oil revenue starting in 2023 through the implementation of various measures, such as fee increases, which will provide support for the economy.

Additionally, the country plans to double its VAT rate to 10% from 2022 and rely on oil revenues to decrease Bahrain's budget deficit to under 4% of GDP in the same year.

In an effort to attract foreign direct investment, the government has disclosed details of a US$2.5 billion initiative that aims to be achieved by 2023. The initiative includes numerous projects in areas such as education, health, social development, youth, sports, and industry

Trending Projects in Bahrain

Gulf Railway (GCC Rail Network)

The project calls for the construction of Gulf Railway (GCC Railway) that spans over 6 countries. The project spans over an area of 2,117 kilometer.

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New Bahrain International Airport

Project involves construction of a new Bahrain International Airport on a manmade island in north coast of Bahrain.

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Tilal Residential Project

The project calls for the construction of a new residential project called Tilal which falls under the Masterplan of Al Areen Development.

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New Hawar SWRO Desalination Plant

The project calls for the construction of a new seawater reverse osmosis (SWRO) desalination plant located in Hawar Islands southeastern coast in Bahrain called the New Hawar SWRO Desalination Plant.

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Al Dur Solar PV Power Stations

The project calls for the project to establish Solar Power Stations at Al Dur area in the Southern Governorate of the Kingdom of Bahrain. The expected production capacity of the project is between 90 and 100 megawatts.

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Nasayim Arad Villas

The project calls for the construction of Nasayim Villa project located in Arad, Muharraq. It consists of 48 land plots and villas ranging from 301 to 544 square meters.

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Al Maydan Mall in Hamad Town

Project calls for the construction of 2 Storey Maydan Mall in Hamad Town.

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The Avenues Mall - Phase 2

The project will also have new districts featuring Souq style area and a 210 room Hilton Bahrain Bay Hotel and Residences...

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