{ "Introduction": { "Background": { "text": "
In 1783, the Sunni Al-Khalifa family took power in Bahrain. 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. A steady decline in oil production and reserves since 1970 prompted Bahrain to take steps to diversify its economy, in the process developing petroleum processing and refining, aluminum production, and hospitality and retail sectors. It has also endeavored to become a leading regional banking center, especially with respect to Islamic finance. Bahrain's small size, central location among Gulf countries, economic dependence on Saudi Arabia, and proximity to Iran require it to play a delicate balancing act in foreign affairs among its larger neighbors. Its foreign policy activities usually fall in line with Saudi Arabia and the UAE.
The Sunni royal family has long struggled to manage relations with its large Shia-majority population. In early 2011, amid Arab uprisings elsewhere in the region, the Bahraini Government confronted similar pro-democracy and reform protests at home with police and military action, including deploying Gulf Cooperation Council security forces to Bahrain. Failed political talks prompted opposition political societies to boycott 2014 legislative and municipal council elections. In 2018, a law preventing members of political societies dissolved by the courts from participating in elections effectively sidelined the majority of opposition figures from taking part in national elections. As a result, most members of parliament are independents. Ongoing dissatisfaction with the political status quo continues to factor into sporadic clashes between demonstrators and security forces. On 15 September 2020, Bahrain and the United Arab Emirates signed peace agreements (the Abraham Accords) with Israel – brokered by the US – in Washington DC. Bahrain and the UAE thus became the third and fourth Middle Eastern countries, along with Egypt and Jordan, to recognize Israel.
" } }, "Geography": { "Location": { "text": "Middle East, archipelago in the Persian Gulf, east of Saudi Arabia" }, "Geographic coordinates": { "text": "26 00 N, 50 33 E" }, "Map references": { "text": "Middle East" }, "Area": { "total": { "text": "760 sq km" }, "land": { "text": "760 sq km" }, "water": { "text": "0 sq km" } }, "Area - comparative": { "text": "3.5 times the size of Washington, DC" }, "Land boundaries": { "total": { "text": "0 km" } }, "Coastline": { "text": "161 km" }, "Maritime claims": { "territorial sea": { "text": "12 nm" }, "contiguous zone": { "text": "24 nm" }, "continental shelf": { "text": "extending to boundaries to be determined" } }, "Climate": { "text": "arid; mild, pleasant winters; very hot, humid summers" }, "Terrain": { "text": "mostly low desert plain rising gently to low central escarpment" }, "Elevation": { "highest point": { "text": "Jabal ad Dukhan 135 m" }, "lowest point": { "text": "Persian Gulf 0 m" } }, "Natural resources": { "text": "oil, associated and nonassociated natural gas, fish, pearls" }, "Land use": { "agricultural land": { "text": "11.3% (2018 est.)" }, "agricultural land: arable land": { "text": "arable land: 2.1% (2018 est.)" }, "agricultural land: permanent crops": { "text": "permanent crops: 3.9% (2018 est.)" }, "agricultural land: permanent pasture": { "text": "permanent pasture: 5.3% (2018 est.)" }, "forest": { "text": "0.7% (2018 est.)" }, "other": { "text": "88% (2018 est.)" } }, "Irrigated land": { "text": "40 sq km (2012)" }, "Population distribution": { "text": "smallest population of the Gulf States, but urbanization rate exceeds 90%; largest settlement concentration is found on the far northern end of the island in and around Manamah and Al Muharraq" }, "Natural hazards": { "text": "periodic droughts; dust storms" }, "Geography - note": { "text": "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 and Society": { "Population": { "text": "1,526,929 (July 2021 est.)note: political parties are prohibited, but political societies were legalized under a July 2005 law
" }, "International organization participation": { "text": "ABEDA, AFESD, AMF, CAEU, CICA, FAO, G-77, GCC, IAEA, IBRD, ICAO, ICC (national committees), ICRM, IDA, IDB, IFC, IFRCS, IHO, ILO, IMF, IMO, IMSO, Interpol, IOC, IOM (observer), IPU, ISO, ITSO, ITU, ITUC (NGOs), LAS, MIGA, NAM, OAPEC, OIC, OPCW, PCA, UN, UNCTAD, UNESCO, UNIDO, UNWTO, UPU, WCO, WFTU (NGOs), WHO, WIPO, WMO, WTO" }, "Diplomatic representation in the US": { "chief of mission": { "text": "Ambassador Abdulla bin Rashid AL KHALIFA (since 21 July 2017)" }, "chancery": { "text": "3502 International Drive NW, Washington, DC 20008" }, "telephone": { "text": "[1] (202) 342-1111" }, "FAX": { "text": "[1] (202) 362-2192" }, "consulate(s) general": { "text": "New York" } }, "Diplomatic representation from the US": { "chief of mission": { "text": "Ambassador Justin H. SIBERELL (since November 2017)" }, "telephone": { "text": "[973] 1724-2700" }, "embassy": { "text": "Building #979, Road 3119 (next to Al-Ahli Sports Club), Block 331, Zinj District, Manama" }, "mailing address": { "text": "PSC 451, Box 660, FPO AE 09834-5100Oil and natural gas play a dominant role in Bahrain’s economy. Despite the Government’s past efforts to diversify the economy, oil still comprises 85% of Bahraini budget revenues. In the last few years lower world energy prices have generated sizable budget deficits - about 10% of GDP in 2017 alone. Bahrain has few options for covering these deficits, with low foreign assets and fewer oil resources compared to its GCC neighbors. The three major US credit agencies downgraded Bahrain’s sovereign debt rating to \"junk\" status in 2016, citing persistently low oil prices and the government’s high debt levels. Nevertheless, Bahrain was able to raise about $4 billion by issuing foreign currency denominated debt in 2017.
Other major economic activities are production of aluminum - Bahrain's second biggest export after oil and gas –finance, and construction. Bahrain continues to seek new natural gas supplies as feedstock to support its expanding petrochemical and aluminum industries. In April 2018 Bahrain announced it had found a significant oil field off the country’s west coast, but is still assessing how much of the oil can be extracted profitably.
In addition to addressing its current fiscal woes, Bahraini authorities face the long-term challenge of boosting Bahrain’s regional competitiveness — especially regarding industry, finance, and tourism — and reconciling revenue constraints with popular pressure to maintain generous state subsidies and a large public sector. Since 2015, the government lifted subsidies on meat, diesel, kerosene, and gasoline and has begun to phase in higher prices for electricity and water. 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. It plans to introduce a Value Added Tax (VAT) by the end of 2018.
" }, "Real GDP growth rate": { "Real GDP growth rate 2019": { "text": "2.49% (2019 est.)" }, "Real GDP growth rate 2018": { "text": "13.89% (2018 est.)" }, "Real GDP growth rate 2017": { "text": "3.85% (2017 est.)" } }, "Inflation rate (consumer prices)": { "Inflation rate (consumer prices) 2017": { "text": "1.4% (2017 est.)" }, "Inflation rate (consumer prices) 2016": { "text": "2.8% (2016 est.)" } }, "Credit ratings": { "Fitch rating": { "text": "B+ (2020)" }, "Moody's rating": { "text": "B2 (2018)" }, "Standard & Poors rating": { "text": "B+ (2017)" } }, "Real GDP (purchasing power parity)": { "Real GDP (purchasing power parity) 2019": { "text": "$73.87 billion (2019 est.)" }, "Real GDP (purchasing power parity) 2018": { "text": "$72.55 billion (2018 est.)" }, "Real GDP (purchasing power parity) 2017": { "text": "$71.282 billion (2017 est.)" }, "note": "note: data are in 2010 dollars" }, "GDP (official exchange rate)": { "text": "$38.472 billion (2019 est.)" }, "Real GDP per capita": { "Real GDP per capita 2019": { "text": "$45,011 (2019 est.)" }, "Real GDP per capita 2018": { "text": "$46,227 (2018 est.)" }, "Real GDP per capita 2017": { "text": "$47,710 (2017 est.)" }, "note": "note: data are in 2010 dollars" }, "Gross national saving": { "Gross national saving 2018": { "text": "29.9% of GDP (2018 est.)" }, "Gross national saving 2017": { "text": "28.9% of GDP (2017 est.)" }, "Gross national saving 2016": { "text": "21.2% of GDP (2016 est.)" } }, "GDP - composition, by sector of origin": { "agriculture": { "text": "0.3% (2017 est.)" }, "industry": { "text": "39.3% (2017 est.)" }, "services": { "text": "60.4% (2017 est.)" } }, "GDP - composition, by end use": { "household consumption": { "text": "45.8% (2017 est.)" }, "government consumption": { "text": "15.5% (2017 est.)" }, "investment in fixed capital": { "text": "26.1% (2017 est.)" }, "investment in inventories": { "text": "0.4% (2017 est.)" }, "exports of goods and services": { "text": "80.2% (2017 est.)" }, "imports of goods and services": { "text": "-67.9% (2017 est.)" } }, "Ease of Doing Business Index scores": { "Overall score": { "text": "76 (2020)" }, "Starting a Business score": { "text": "89.6 (2020)" }, "Trading score": { "text": "78.7 (2020)" }, "Enforcement score": { "text": "63.8 (2020)" } }, "Agricultural products": { "text": "mutton, dates, milk, poultry, tomatoes, fruit, sheep offals, sheep skins, eggs, pumpkins" }, "Industries": { "text": "petroleum processing and refining, aluminum smelting, iron pelletization, fertilizers, Islamic and offshore banking, insurance, ship repairing, tourism" }, "Industrial production growth rate": { "text": "0.6% (2017 est.)" }, "Labor force": { "text": "831,600 (2017 est.)none
" } } }