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Country ProfileIndustry, finance, energy, transport & tourism key sectors
Politics dominates international coverage in 2011Land area expanding due to ongoing reclamation efforts
Home to a diverse, multicultural population of 1.23m
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COUNTRY PROFILE
The country has long pursued a policy of economic diversification
As the Arabic word for two seas, Bahrains name refers
to the sweet-water springs that fill the Kingdoms
aquifers and the salty seas that surround the island.
HISTORY: The Kingdom of Bahrain is home to one of
the regions oldest civilisations, the Dilmun civilisation,
which dates back nearly 6000 years. Throughout his-
tory, Bahrain attracted the attention of empires and
nations due to its strategic position in the Gulf. Conse-
quently, the country was influenced by a number of pow-
ers including the Persians, Sumerians, Assyrians, Arabs,
Babylonians, Portuguese and the British. Bahrain was
important to ancient Mesopotamia because it con-
nected the lands of the present day Middle East and
established sea lanes. Thus, the country thrived as a
commercial centre where merchants founded settle-
ments that formed the backbone of the economy.
GOVERNMENT:Bahrain declared independence from
the British in 1971. Between 1961 and 1999, Bahrain
was ruled as an emirate by the late Sheikh Isa bin Hamad
Al Khalifa. On his death in 1999, Sheikh Hamad bin Isa
Al Khalifa, his son, became the islands ruler and set in
motion a reform programme.
In 2001, the National Action Charter was published,
setting out key principles for the government of Bahrain,including the establishment of a constitutional monar-
chy, parliamentary elections, and universal suffrage for
men and women. The charter was ratified by a nation-
al referendum with 98.4% of voters in favour of trans-
forming the hereditary emirate into a constitutional
monarchy, thereby establishing the current Kingdom
of Bahrain ruled by King Hamad bin Isa Al Khalifa.
The executive government is headed by the prime
minister, Prince Khalifa bin Salman Al Khalifa, who has
been in place since 1971, making him the worlds
longest-serving prime minister. Executive authority is
vested with the King and the Council of Ministers (thecabinet), which is appointed by the King. Crown Prince
Salman bin Hamad Al Khalifa is the deputy supreme com-
mander of the Bahrain Defence Force as well as the
chairman of the Bahrain Economic Development Board
(EDB), a state body tasked with formulating the coun-
trys long-term development strategy.
The National Action Charter modernised the legisla-
tive side of government, and the parliament that was
suspended in 1975 was reconstituted. The Bahraini
parliament, known as the National Assembly, is made
up of a lower house, the Council of Representatives,
which is elected by universal suffrage, and an upper
house, the Shura (consultative) Council, which is appoint-
ed by the King. The National Assembly consists of 80
seats; 40 elected members sit on the Council of Rep-
resentatives and 40 appointed members sit on the
Shura Council. The upper parliament has the power to
block legislation from the lower parliament. Elected
members of the lower parliament serve four-year terms.
The most recent elections were held in October 2010.
Special elections were held in September and October
2011 to fill the 18 seats vacated by members of the Al
Wefaq party, resulting in the largest number of women
ever to be elected to the Council of Representatives,
with four women now part of the 40 members. Al Wefaq
did not participate in the elections. The Kingdom also
announced in May 2012 it would join Saudi Arabia in
a closer political union, with the two states collaborat-ing on foreign, security and economic policy.
POLITICS:Protests flared up throughout the Kingdom
in February and March of 2011, and demonstrations
continued for the remainder of the year and into 2012.
In response to the earlier political unrest, a National
Dialogue was held on July 1, 2011 to engage the dif-
ferent factions of Bahraini society and to discuss fur-
ther political, economic, social and legislative reforms.
This concluded with a number of recommendations
for restructuring, including recognising the importance
of further diversification; encouraging the role of the
private sector; evaluating options for redirecting sub-sidies; placing new levies for indirect and corporate
taxes; resolving the issue of the high increase of guest
workers; and supporting innovation programmes. One
outcome of the dialogue was a set of constitutional
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An island of commerceLeveraging natural strengths and strategic advantages
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COUNTRY PROFILE
amendments that make it easier to question and remove
ministers and withdraw confidence in the Council of
Ministers. According to a televised speech by the King,
the purpose of the these amendments, ratified in May
2012, is to increase dialogue on reform.
Following the conclusion of the dialogue, the King
launched the Bahrain Independent Commission of
Inquiry (BICI) on June 29, 2011 to investigate the polit-ical unrest of earlier that year. The commissions aim
was to determine if the events that began in February
2011 had involved violations of international human
rights law and to provide recommendations for politi-
cal stability. The commission was directed to issue a com-
prehensive account of the events and describe any
acts of violence that occurred by highlighting all the
parties involved and investigating allegations of police
brutality and violence by demonstrators. The official BICI
Report was released on November 23, 2011 with numer-
ous recommendations, and the National Commission
that was tasked to follow up on the suggestions releasedits final report on March 20, 2012. Nevertheless, the
opposition has claimed that the governments reform
measures are taking too long to implement.
ECONOMIC OVERVIEW: Bahrain has set many region-
al precedents; among others, it was the first country
in the Middle East to discover oil in 1932. This sparked
a major economic overhaul as the petroleum industry
developed, catalysing a process of modernisation that
diverted the Kingdoms economy away from tradition-
al mainstays such as pearl diving and fishing. Mindful
of its finite hydrocarbons reserves, Bahrain pursued an
early policy of economic diversification. This policy
formed the basis for the Economic Vision 2030, a devel-
opment plan to improve Bahraini living standards. The
campaigns framework, the National Economic Strate-
gy, highlights the path to a stronger economy through
growth in the private sector as the government con-
tinues to invest in infrastructure and human resources.
Bahrain has successfully developed its industrial and
downstream sectors, and is home to one of the largest
aluminium smelters in the world, Aluminium Bahrain
(Alba). In 2011, overall GDP at constant prices had an
annual growth rate of 2.2%, with the oil sector grow-
ing at 3.4% and non-oil sector growing at 2.1%.
The Kingdom ranked 38th in the World Banks 2012Doing Business report, and for the third time ranked
37th in the World Economic Forums Global Compet-
itiveness Report in 2011. Bahrain was also notably
ranked the 12th freest economy in the world and first
in the Middle East and North Africa (MENA) region,
according to the 2012 Index of Economic Freedom.
ENERGY: Bahrains energy sector is a major source of
government revenue. In 2011 oil accounted for approx-
imately 13% of GDP and 75% of government revenues.
Onshore reserves discovered in the Awali Bahrain Field
yielded some 75,000 barrels per day (bpd) at its peak
in the 1970s. Output has since declined, falling to some32,000 bpd in 2010. Forecasts suggest that by 2015,
Bahrain will account for 0.6% of Middle East regional
oil demand while providing 0.2% of supply. Gas produc-
tion in Bahrain totalled some 552bn cu ft during 2011.
FINANCIAL SERVICES:The financial services sector has
been a great beneficiary of the economic diversifica-
tion programme. Sector assets amounted to $195.5bn
as of January 2012, contributing 25% of GDP. There
were 415 registered financial institutions operating in
the Kingdom as of February 2012, up from 409 in 2011,
demonstrating that the regulatory system in place
helped to sustain the industry in 2011. As of 2009, the
sector employed roughly 15,000 people, 34% of whom
were foreign nationals. Bahrain is also a major centre
for offshore banking and funds in the region, with 2789
authorised funds registered as of February 2012.
ISLAMIC FINANCE:Bahrain is a major centre for Islam-
ic finance, and the sectors assets totalled $24.4bn as
of January 2012. The Kingdom is home to a number of
regulatory agencies and institutions that help to devel-
op standards and guidelines for the Islamic finance
industry, including the Accounting & Auditing Organi-
sation for Islamic Financial Institutions (AAOIFI), the
International Islamic Financial Market (IIFM), the Islam-
ic International Rating Agency (IIRA), and the General
Council for Islamic Banks and Financial Institutions
(CIBAFI). As of January 2012, the country was home to
26 Islamic banks as well as 18 takafulfirms, which pro-vide sharia-compliant insurance.
TRANSPORT: Given its strategic maritime location and
proximity to Saudi Arabia the largest market in the
Middle East Bahrain has successfully established itself
as a transportation hub for the northern Gulf region.
The countrys new Khalifa Bin Salman Port, the Bahrain
International Airport and the overland route to Saudi
Arabia via the King Fahd Causeway helped establish
the nation as a focal point for transport and logistics.
Expansion of the international airport, ongoing infra-
structure improvements and the planned Qatar-Bahrain
Causeway will serve to further boost the Kingdomscompetitiveness as a transportation hub.
TOURISM: Bahrain has a thriving tourism industry that
attracts visitors from both the region as well as further
abroad. Tourists are drawn to Bahrains traditionally lib-
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THE REPORT Bahrain 2012
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COUNTRY PROFILE
eral atmosphere, rich history and culture. The Kingdom
offers a wide range of attractions, including historic mon-
uments like the Al Khamis Mosque, which dates back
to 692 CE, and the modern Bahrain International Cir-
cuit, host of a 2012 Formula 1 race.
The tourism sector was adversely affected by the
political environment in 2011 with a major decline in
visitors and the cancellation of that years Bahrain For-mula 1 Grand Prix. However, tourism numbers improved
in 2012, and the meetings, incentives, conventions and
exhibitions segment is back on track. Bahrain was des-
ignated Capital of Arab Culture in 2012 and Capital of
Arab Tourism in 2013. Both should give the sector a
boost as visitors arrive for the scheduled fanfare.
GEOGRAPHY: The total inland area of Bahrain is con-
stantly expanding thanks to land reclamation projects.
In 2011, Bahrain grew to 765.3 sq km, up from 759 sq
km in 2010. The national archipelago consists of 33
islands, and the four main islands are Bahrain Island, Al
Muharraq Island, Sitra Island and Umm An Nasan Island,which make up approximately 95% of the total land area.
These islands are connected through a series of cause-
ways, while more remote islands can be reached by boat.
Saudi Arabia is Bahrains closest neighbour to the
north-west and across the Gulf of Bahrain, and they
are linked by the 25-km King Fahd Causeway. Qatar lies
28 km off the south-eastern coast. The two countries
will eventually be linked by a causeway, which will be
the worlds longest fixed link, extending some 40 km.
The capital Al Manamah, colloquially known as Man-
ama, sits on the northern portion of the main island,
with a population of roughly 200,000. Muharraq is the
second-largest island and is home to the countrys sec-
ond-largest city, which bears the same name. Other
significant cities include Riffa, Sitra and Isa Town.
At 122 metres, Jebel Al Dukhan is the Kingdoms
highest point. Most of the islands are low-lying desert,and agrarian land is scarce, with only 2.82% arable.
CLIMATE: Bahrain has two seasons: a hot and humid
summer and a mild winter. Summer begins around April
and continues through October. The average temper-
ature in the summer is 36C, with highs reaching 48C.
Sandstorms are not uncommon during the mid-sum-
mer months. Winter is from November to April with tem-
peratures ranging from 15C to 24C, and coolest
between December and March when the northerly
winds prevail. Average annual rainfall is 77 mm.
NATURAL RESOURCES: Oil, gas, fish and pearls are
Bahrains most abundant natural resources. Due to thedesert climate, agricultural production is limited. Since
the discovery of oil in the 1930s, traditional industries
such as fishing and pearling have contributed signifi-
cantly less to overall output but remain important areas
for employment and due to their traditional cultural sig-
nificance. Although the Kingdom was the first of the
GCC states to discover hydrocarbons, it has smaller
quantities of oil and gas than its neighbours. The gov-
ernment has accelerated exploration efforts and is
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COUNTRY PROFILE
preparing to boost refining capacity. In 2010 produc-
tion from the onshore Bahrain Field was raised for the
first time in 30 years thanks to enhanced oil recovery
techniques. The Kingdom recently awarded a tender
for deep gas exploration, and drilling has begun in off-
shore blocks alongside an increase in onshore explo-
ration. Bahrain also shares the yield from the offshore
Abu Safa field with the Kingdom of Saudi Arabia.Water is a limited and dwindling resource in Bahrain.
The main aquifer, Dammam, is becoming saline from
overuse. As a result, Bahrain relies on desalination
plants to provide most of its potable water.
POPULATION: The countrys population is diverse and
multicultural and home to a variety of different ethnic-
ities. The 2010 census puts the total population of the
Kingdom at 1.23m, with 568,400 nationals and 666,200
non-Bahrainis, who make up 54% of the total populace.
Approximately 51.1% of the population are Bahraini
citizens, GCC citizens or hail from other Arab coun-
tries; 45.5% are from Asia or Oceania; 1.6% are from Africaand the remaining 1.3% are from Europe and the Amer-
icas. Males account for around 62% of the total, which
can be attributed to the sizable expatriate workforce.
An estimated 88.7% of the population live in urbanised
areas, with 329,510 individuals residing in the Capital
Governorate, home to the capital, Manama.
LANGUAGE: Arabic is the official language of Bahrain,
and Bahraini Arabic, similar to Khaleeji(Gulf) Arabic, is
the most common spoken form. English is widely used
and is often the de facto language of business given
the ethnic and linguistic diversity of the countrys pop-
ulation. Road signs are usually in English and Arabic,
and most documentation is available in both languages.
English is a compulsory second language in local schools,
and Bengali, Farsi, Hindi, Malayalam, Tagalog and Urdu
are also well represented in society.
RELIGION: Islam is the official religion of Bahrain. Some
98% of Bahraini nationals are Muslim of either Shia or
Sunni following; however, the approximate percent-
age of each sect is widely disputed as there are no sta-
tistics readily available. The Kingdom is one of the most
religiously tolerant states in the Gulf region and allows
for religious freedom, evidenced by the presence of
mosques, churches, temples and synagogues through-
out the country. According to the 2010 census, 70% ofthe total population, including non-nationals, are Mus-
lim. Of the non-nationals, 54% are non-Muslim includ-
ing Bahais, Buddhists, Christians, Hindus and Sikhs.
Bahrain is also home to a small indigenous Jewish pop-
ulation that is represented in the government.
WOMEN:Bahrain also values the role that women play
in society. Women have actively contributed to the
countrys development since the late 1920s when they
were allowed to attend schools, receive formal educa-
tion and vote in municipal elections. Womens rights
were further supported with the establishment of the
National Action Charter and the Supreme Council forWomen (SCW) in 2001. The SCW promotes the status
of women, awareness of their capabilities, ensures their
rights are protected and helps tackle various problems
in society. Bahrain was the first GCC state to allow
women to participate in national elections, both as
voters and candidates. It was also the first state in the
Gulf to elect a female member of parliament, and there
are currently four elected female members serving in
the Council of Representatives.
EDUCATION: As a leader in the field of education,
Bahrain was the first country in the Gulf to open a pub-
lic school for males in 1919 and the first to provide
schooling for females in 1928. Compulsory elementary
education for children was introduced in 2001. The
World Economic Forums Global Competitiveness
Report 2011-12, issued in October 2011, highlighted
Bahrains high rates of both primary and secondary
enrolment (97.3% and 96.4%, respectively) as well as
the quality of education and availability of research
and training services. Tertiary enrolment has increased
threefold over the course of the last decade, and women
account for 70% of total students. The government
pays all educational costs for Bahraini citizens, and
11% of total government expenditure is earmarked for
education. Bahrains literacy rate, which is approximate-
ly 91.4%, is one of the highest in the region.
Recent government programmes meant to further
improve education include teacher training schemes,a new polytechnic college, improvement of upper-sec-
ondary vocational programmes and a quality assur-
ance initiative to raise the accreditation standards.
HEALTH CARE: Bahrain has played a vital role in devel-
oping the regions health care. The Kingdom is home
to the regions oldest hospital, the American Mission
Hospital (AMH), established in 1902. Until the late
1940s, AMH provided health care for both Bahrainis
as well as neighbouring populations, including Saudis,
who would travel to the island nation by boat for care.
Health care is completely subsidised for Bahraini
nationals. There are 13 private hospitals and 11 gov-ernment hospitals, including the recently opened King
Hamad University Hospital in 2012. Health care con-
tinues to be a central focus as the government strives
to keep up with the significant growth in population.
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THE REPORT Bahrain 2012
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COUNTRY PROFILE VIEWPOINT
King Hamad bin Isa Al Khalifa
The BICI Report deals with controversial matters of
importance. The commission has sought to establish
the true facts of a period of painful unrest, which has
affected all of Bahrain. The commission understood
the unprecedented challenges faced by our authori-
ties. They have recognised the need for our authori-
ties to re-establish public order in the face of violence
and intimidation against ordinary people as well as
against the nations essential institutions. At the same
time, they have also identified serious shortcomings on
the part of some organs of our government, particu-
larly in failing to prevent instances of excessive force
and of the mistreatment of persons placed under arrest.
Some may wonder why we asked a commission of
foreign experts to examine the events of February and
March 2011 and their subsequent ramifications. The
answer is that any government which has a sincere
desire for reform and progress understands the ben-
efit of objective and constructive criticism.
There are many examples of this around the world.
For example, in Europe, we see that leading national
governments are routinely criticised by external insti-
tutions which they have themselves created. Yet the gov-
ernments of these countries do not denounce theEuropean Court of Human Rights. They do not protest
or boycott the judges who criticised them. To the con-
trary, they are grateful to the court for having identi-
fied the ways they must improve if they are to be in
harmony with international law and morality. Nor does
the international community conclude that these are
oppressive governments. They are seen to follow a path
of wisdom, acknowledging they benefit from neutral
investigations and from trusting their own capacity to
use criticism constructively in their peoples interest.
We are determined to ensure that the painful events
our beloved nation has experienced are not repeated,but that we learn from them, and use our new insights
as a catalyst for positive change.
Even before receiving the BICI Report, we have intro-
duced proposals to amend our laws to give greater
protection to the valuable right of free speech and to
expand the definition of torture to ensure that all forms
of ill treatment are covered by our criminal laws. Both
of these proposals would place our laws in full conform-
ity with international human rights standards. We have
addressed issues of due process in criminal trials, in par-
ticular for the medical professionals. We have reviewed,
and are continuing to review, the circumstances of job
dismissals and expulsions from educational institu-
tions. In addition to retrials and reinstatement, affect-
ed persons have access to many remedies, including
the newly established Victims Compensation Fund.
The BICI Report is lengthy and detailed. We must
study it with the care it deserves. As the first step, a
working group of government members conducted an
in-depth reflection on the findings and recommenda-
tions. This working group will then urgently propose con-
crete responses to the recommendations. We intend
to waste no time in benefitting from this report. It pro-
vides an historic opportunity for Bahrain to deal with
matters that are both serious and urgent. Officials who
have not been up to their task must be held account-
able, and will be replaced. Above all, we must conceive
and implement reforms that satisfy all segments of ourpopulation. That is the only way to achieve reconcilia-
tion and to heal the fractures in our society. In order to
ensure there is no return to unacceptable practices once
the commission has left Bahrain, we have decided to
engage with international organisations and eminent
individuals to assist and advise our law enforcement
agencies, and to improve their procedures.
We believe that the release of this report has opened
a new page in history, which has been made possible
by the grace of God and because we have had the con-
fidence to resort to an objective and impartial body.
Again, the nations of Europe are routinely held toaccount before the European Court in Strasbourg. That
court, through its judgements, has set the standard for
modern international human rights. The same is true
of the Inter-American Court of Human Rights in Costa
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Our highest objectiveKing Hamad bin Isa Al Khalifa on the report of the Bahrain Independent
Commission of Inquiry (BICI)
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COUNTRY PROFILE VIEWPOINT
Rica. The whole world benefits from the jurisprudence
of these courts. This shows us there is something miss-
ing. Surely, the Arab nations, with our ancient transi-
tions of fairness and justice, also have something to con-
tribute. Surely, we too need to show that our officials
are subject to a higher law, and that we can be proud
of our traditions of respect for human rights.
Bahrain was an immediate supporter of the Arab
Charter of Human Rights 15 years ago, but in truth this
text has not created a system like those of Europe and
the Americas. I will propose to our fellow Arab states
that we now move concretely toward the creation of
an Arab Court of Human Rights to take its proper place
on the international stage.
Bahrain assumes its international responsibilities
seriously. Indeed, it has taken the initiative to contribute
to collective international action by providing facilities
for multilateral organisations. In 2009, during the vis-
it of Ban Ki-moon, secretary-general of the UN, we ded-
icated a significant plot of land in our capital, Mana-
ma, to serve the community of the UN; it now houses
a regional office of the UN Development Programme.
We would welcome other UN agencies, perhaps, for
example, by the establishment of a regional office ofthe UN Office on Drugs and Crime.
Such international cooperation will of course not
replace national initiatives. We previously announced
the establishment of the National Institution for Human
Rights as an independent body possessing its own
organic law, to operate in accordance with the Paris Prin-
ciples, which embody international human rights stan-
dards relevant to functioning national institutions.
As for the government response to the reports find-
ings and recommendations, I say again that they involve
fundamental issues, and must be dealt with urgently.
All of this being said, we cannot fail to extend ourgratitude to our armed forces and law enforcement
agencies who restored public order in the face of intim-
idation and violence; to our GCC allies who participat-
ed in helping protect key installations by deploying the
Peninsula Shield Force, without any confrontation with
civilians; and to the multitude of ordinary Bahrainis
who took a stand against the forces of violence and
sectarian division in our kingdom.
We have every sympathy for those who sincerely and
peacefully seek reforms within a pluralistic society
where the rights of all are respected, but not for those
who seek to impose totalitarian rule. Our desire for lib-
eral reform goes hand in hand with our deep disappoint-
ment, after having extended so many times the hand
of friendship, towards the Islamic Republic of Iran, which
with the around-the-clock broadcasts in Arabic given
by Iranian state-controlled radio and television sta-
tions, incited our population to engage in acts of vio-
lence, sabotage and insurrection. Irans propaganda
fuelled the flames of sectarian strife an intolerable
interference in our internal affairs from which Bahrain
has suffered greatly. As the chair of the commission
correctly said, the government of Bahrain is not in a
position currently to provide evidence of links between
Iran and specific events in our country. But this prop-
aganda, an objective fact to be observed by all who have
eyes and ears and comprehend Arabic, not only direct-
ly challenges our countrys stability and sovereignty, butalso poses a threat to the security and stability of the
GCC countries. We hope that the Iranian leadership will
reflect and abandon this policy of enmity and discord.
We affirm our commitment to ensuring the safety
and security of our nation and its people, and our com-
mitment to reform and to the rectification of errors in
all transparency. We urge all our people to reflect upon
their own attitude and intentions, to address their mis-
takes and to do their civic duty to contribute to nation-
al unity within a community of tolerance. Our highest
objective, after pleasing God, is to promote brother-
hood, harmony and tolerance amongst our people,within the environment of a pluralistic, cohesive and
prosperous society; a society guaranteeing the rule of
law and human rights; a society ensuring the tranquil
pursuit of opportunities and fulfilment for everyone.
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THE REPORT Bahrain 2012
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COUNTRY PROFILE INTERVIEW
Princess Sabeeka bint Ibrahim Al Khalifa, Wife of the King, andPresident, Supreme Council for Women
How has the role of women in Bahraini politics pro-
gressed following the recent elections?
PRINCESS SABEEKA: Bahraini womens progress in
political life started in 2001, after King Hamad bin Isa
Al Khalifa announced reforms and a political moderni-
sation process. Support for women from the leader-
ship and the people is evident in the overwhelming
98.4% vote in favour of the National Action Charter,
which ultimately led to an increase in the representa-
tion of Bahraini women internationally and locally in
ministerial and decision-making posts. The charter was
reflected in the constitutional articles that guaranteed
the participation of women in political life and public
service while preserving a balance between their famil-
ial roles and their work in society. It also emphasised
the importance of ensuring the principles of equality
and justice. The SCW was very aware from the outset
of the need to launch special programmes to political-
ly empower women, encourage them to exercise their
rights and present them as a valuable and influential
force in the decision-making process.
The recent increase in the number of women in the
legislative assembly (four women were newly elected
to the Council of Representatives, and 11 women wereappointed to the Shura Council) is considered a signif-
icant boost to womens contribution to political life in
the Kingdom of Bahrain. This rise further proves the
amount of support that Bahraini women receive today
and the trust they have earned in their capability to con-
tribute to the national development in different fields,
particularly in issuing legislation related to women,
family and society as a whole.
Where do you see the greatest opportunities for
women to enter the workforce to further acceler-
ate economic development in the Kingdom?PRINCESS SABEEKA: As a result of specialised pro-
grammes, Bahrain has been able to decrease the rate
of unemployment amongst women and men. The SCW
is very keen to contribute to this effort by offering
comprehensive programmes aimed at the economic
empowerment of women to create new opportunities
for them in cooperation with the concerned organisa-
tions in the Kingdom. We have recently launched sev-
eral projects to assist low-income families to start their
own businesses, taking into consideration the need to
make new business choices that are compatible with
market demand. Since then, we have succeeded in
attracting a significant number of women from differ-
ent areas of the country to participate in these eco-
nomic empowerment programmes.
Increasing the number of Bahraini women entrepre-
neurs in different areas is a great step forward towards
economic empowerment; however, there are many
other opportunities available to Bahraini women that
can contribute to both personal gain and the econom-
ic development of the country. Opportunities in the field
of medicine, law, architecture and consultancy are
always available to women with the right level of edu-
cation, training and guidance. Therefore, by develop-
ing long-term plans to offer the right tools and skills
to Bahraini women, in accordance with the countrys
economic vision, the SCW will be better able to empow-
er women and simultaneously strengthen the econo-my of the Kingdom of Bahrain.
Why is the development of small and medium-sized
enterprises (SMEs) important for creating oppor-
tunities for women?
PRINCESS SABEEKA: SMEs offer a certain type of
economic independence for Bahraini women that allow
them to play an important role in developing the nation-
al economy. These businesses can also further devel-
op when the proper platform for growth is provided.
In the Kingdom, many public and private organisations
such as Tamkeen, Bahrain Development Bank, UNIDOand Ebdaa Bank are strategic partners in implement-
ing economic empowerment programmes for women
with the council. There are also a number of examples
and success stories of women who managed their own
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Ensuring equalityOBG talks to Princess Sabeeka bint Ibrahim Al Khalifa, Wife of the King,
and President, Supreme Council for Women (SCW)
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COUNTRY PROFILE INTERVIEW
businesses and, today, are regional businesswomen.
Such projects, if sustained, should allow women to par-
ticipate in developing the economy while controlling
capital and managing their lives.
The SCW is currently working on an economic empow-
erment programme using a comprehensive economic
system, either by administering training programmes
and providing qualifications in managing small business-
es and projects, or by providing financing opportuni-
ties that can be facilitated through funds that offer cap-
ital entrepreneurs need subject to basic rules and
regulations. In addition to establishing a fund, financ-
ing can be provided through the launch of economic
incubators that offer a number of consultative servic-
es such as training, financing and promotion all offered
under one umbrella called the Bahraini Women Devel-
opment Centre, which is currently in its early stages.
Being established by SCW in cooperation with the
Bahrain Development Bank, the centre is expected to
be fully operational by the end of 2012.
How is the SCW working to increase training for
women and further develop their skills?
PRINCESS SABEEKA: The SCW operates according toa national strategy approved by the King. Such a strat-
egy has been translated into a practical workplan that
includes programmes and projects that accomplish a
great deal for Bahraini women, while at the same time
empowering and developing their skills further so they
can add value to the process of the development of
the national economy. The council also introduced a
number of initiatives and awards that encourage gov-
ernment and public sector organisations to empower
Bahraini women in their organisations. These initia-
tives have managed to create a substantial impact on
the status of women in the workplace and achieve thedesired balance that ensures equal opportunities and
eliminates discrimination against women. The council
has also signed a number of memorandums of under-
standing with local and international organisations that
contribute to the financing of different programmes
and projects in efforts of implementing the national
work plan of the Council.
Today, the SCW is working on incorporating womens
needs into the governments workplans to guarantee
that the programmes set for women are implement-
ed; especially those that are concerned with services
provided to women and their status in the workplace.
Looking forward, what are the greatest challenges
to the advancement of womens rights in Bahrain?
PRINCESS SABEEKA: There are bound to be chal-
lenges in every work environment that serve as lessons
to grow from. Furthermore, Bahraini womens aspira-
tions are continuously developing, which adds impe-
tus to our goal of providing them with the tools nec-
essary to pursue their ambitions.
Perhaps one of the most significant challenges con-
fronting women today is the issue of the availability of
opportunities that will allow them to become valuable
resources at the national level. It is equally important
to guarantee the enforcement of the constitutional
laws that ensure women, given their social roles as
mothers, can balance between their family lives andcontinue working and contributing to the broader soci-
ety. This matter requires a significant amount of work
and a great deal of follow-up to ensure that women
are given this opportunity in a way that preserves their
role as an important part of the workforce today while
also allowing her be a key player in ensuring family sta-
bility as a wife and mother.
Further to ensuring equality and the empowerment
of women, the Family Law in Bahrain remains a chal-
lenge that needs to be actively addressed and looked
after, specifically because the law sets a standard to
protect womens rights within the court system. Thefact that it has only been partially passed shows that,
despite some very important and crucial progress, the
journey towards the advancement of rights and oppor-
tunities for women in Bahrain is far from complete.
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THE REPORT Bahrain 2012
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COUNTRY PROFILE VIEWPOINT
Abdul Latif bin Rashed Al Zayani, GCC Secretary-General,
Bahrain is an integral part of the GCC and experi-
ences many benefits of membership. While all GCC
member states have their own foreign policies, they
nevertheless communicate closely with each other.
It is difficult to find an example where, on important
global or regional matters, the members speak with
different voices. This is particularly important as we
are an intrinsic part of the Arabic and Islamic world,
with our home at the epicentre of a turbulent region.
The main challenges we confront are not dissimi-
lar to those faced by most nations and international
groupings. Regionally, these include the Middle East
peace process and other international cooperation
initiatives. Internally, nations face sectarian and
employment challenges, particularly among the youth;
potential food and water shortages; and the securi-
ty and conservation of oil and gas resources. These
challenges are seen as opportunities and call for focus
and the strengthening of cooperation between mem-
ber states, and between the GCC and other nations
and blocs. In particular, our leaders have the political
will to rise above the national level.
Our path to achieving this vision is set out across
the GCCs five strategic goals, all of which are inter-linked and in some way or another impact on global
dynamics. The recognition that security and stability
are key to long-term success is reflected in our first
strategic goal: to secure the GCC against all threats.
This objective addresses threats (intentional mali-
cious acts such as external aggression, terrorism and
serious organised crime), as opposed to all other risks,
which are covered under another goal.
We regard the threat or use of force against any
member state as a threat to all members and we
believe that disputes should be settled in a peaceful
manner, utilising political dialogue. The key to secu-rity is consultation, coordination and cooperation
between members and fellow Arab states and allies,
including on issues of terrorism and crime; rejection
of regional or international control or domination of
the Arabian Gulf; and an assurance of free maritime
passage, particularly for oil and gas.
Regional uncertainties and terrorism in the recent
past have ensured that for military and counter-ter-
rorism issues, the GCC has reinforced and tightened
internal liaisons and cooperation with friends and
allies. Advice on regional issues is given freely and at
times member states have acted as useful interme-
diaries for discussion between parties. Nor have they
hesitated to assist each other, as in the case of the
GCCs moral and practical support for the Kingdom
of Bahrain during internal disturbances in early 2011.
While our security is best protected through inter-
national links and agreements and we would like to
think that unilateral action is unlikely, we neverthe-
less understand that we must be able to stand on our
own in the event that GCC and external interests are
not fully compatible. Consequently, steps are being
taken to further strengthen joint capabilities such as
enhancing our multi-national military formations and
ensuring closer coordination over such issues as air
space and CBRN protection. Additional measures are
being taken to more closely coordinate efforts to
counter organised transnational crime and thoughtis being given to establishing a GCC police force.
Our next strategic goal is to sustain and increase
economic growth. There is a huge amount of inter-
nal and international cooperation and participation
in industry, commerce, finance and many other areas.
Fortunately, the GCC has, through joint efforts, demon-
strated economic resilience in weathering the glob-
al financial crisis and is one of the few economic
groupings to maintain healthy growth. For this to be
maintained and to preserve wealth for future gener-
ations, we must place less emphasis on our abundant
but finite natural resources, and concentrate moreon diversification. We see ourselves moving from
being resource-fed economies to knowledge-based
economies and welcome the attendant business
opportunities for ourselves and our global partners.
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Shared objectivesAbdul Latif bin Rashed Al Zayani, GCC Secretary-General, on regional
development and security
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COUNTRY PROFILE VIEWPOINT
As a bloc, we have promoted economic innovation.
Internal investment has been encouraged and an eas-
ier crossflow of labour and a closer customs union
have been provided for. Since the GCC Customs Union
was launched in 2003, for example, trade between
member states has increased by nearly 200%, or more
than 20% per year, from $30bn in 2002 to over $90bn
in 2011. Similarly, with the GCC Common Market
launch in 2008, investors have equal access to mar-
kets across the GCC and have the right to engage in
any economic activity within the council. As a result,
intra-GCC investments have jumped by nearly 50%
and the movement of people between member states
has also increased significantly.
Steps have been taken towards creating a tighter
market and fiscal union and further integration is pro-
vided for through schemes like a trans-GCC railway
system and interlinked power grids. We are moving
toward achieving GCC economic citizenship.
Our third strategic goal, to encourage and maintain
a high level of human development, directly affects
every other goal in a social, political, economic and
security sense. It covers all aspects of improving stan-
dards of living: eradicating unemployment, creatingopportunities for youth, and providing high-quality
education, health care, housing and community serv-
ices. Member states aspire to see development
processes and political systems which serve to ele-
vate and fulfil the wishes and needs of their people,
with citizens from all levels of society feeling that
they have been provided with unsurpassed advan-
tages and benefits and a high quality of life.
At the GCC level, under Common Market rules, social
and welfare development has been expanded across
borders. GCC citizens now have the right to equal
treatment in all member states when seeking educa-tion and medical care or accessing social services.
It is the human factor, linked to government process-
es, which often cause the most misunderstandings and
questions to be raised. Let there be no doubt that good
governance is the top priority of each member state
and each, in its own way, has democratic processes
which allow the voices of citizens to be heard. With
regard to Bahrain, there is optimism that the Kingdom
has resumed its upward curve following the initia-
tives and efforts of King Hamad bin Isa Al Khalifa.
These include the establishment of an Independent
Commission of Enquiry, made up of international
experts in human rights and criminal law, the recom-
mendations of which has the full support of the GCC.
The fourth GCC strategic goal is to improve public
safety by developing strategies for risk awareness,
risk management and crisis management. This goal,
through close cooperation with national agencies, is
the foundation for providing the bloc with a degree
of resilience against all risks. It will be driven by a
newly established GCC Emergency Management Cen-
tre, which, in addition to coordinating all aspects of
risk management will also be responsible for an
enhanced programme of GCC disaster emergency
assistance wherever it may be required worldwide.
Strengthening the international status of the GCC,
which is at the heart of regional and international dia-
logue and cooperation, is the final key objective. It isthrough this goal that we hope to show the readiness
of the GCC to contribute to solving regional and glob-
al challenges. Recent work includes donations for
humanitarian and development aid throughout Africa
and Asia; relief and reconstruction aid to various coun-
tries in the region and elsewhere; and development
programmes in Yemen and the Gaza Strip.
I hope that by learning a little more about the GCC,
readers will see the present and future Kingdom of
Bahrain within the context of broader horizons as a
valued and integral member of the council. Whether
one is doing business in Bahrain or any other ofthe member states, it is certain that investments are
going toward a stable and growing region one that
gains strength from unity, mutual depth, support,
resilience, shared forward thinking and a common vision.
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