Bahrain – Impact of Global Oil Crisis Offset by Non-Hydrocarbons

CEIC Macro Watch Global #46 - July 31, 2015 In 2014, Bahrain’s economy proved to be somewhat resilient to the impact of low oil prices. Throughout the year, the country’s real GDP growth rate remained relatively stable, peaking at 5.7% year on year (YoY) in the second quarter and slowing to 4% YoY in the fourth quarter. This growth was nevertheless respectable considering the performance of the oil and gas sectors – in terms of gross value-added (GVA), the hydrocarbons sector growth turned negative during the fourth quarter of 2014: it was -5.85%, causing GVA to shrink to BHD 558m. Bahrain’s non-hydrocarbons sector, however, saw steady growth during 2014, reaching 6.72% YoY in the fourth quarter, compared to 3.15% YoY growth during the same period in 2013. The combined value added of all the non-hydrocarbon sectors increased from BHD 2.144bn in 2013 to BHD 2.288bn in 2014. The main sectors responsible for this growth were construction (rising 12.3% YoY), transport & telecommunications (9.7%), social & personal services (8.7%), and local financial institutions (6.7%). The positive effects were felt on Bahrain’s government budget: non-oil revenues jumped by 24.3% in 2014, and their share in the country’s total revenues increased from 11.7% to 13.8%. By Veleslav Maslarov in Bulgaria - CEIC Analyst Discuss this post and many other topics in our LinkedIn Group (you must be a LinkedIn member to participate). Request a Free Trial Subscription. Back to Blog
3rd August 2015 Bahrain – Impact of Global Oil Crisis Offset by Non-Hydrocarbons