Shaikh Mohammed bin Essa Al-Khalifa, Chief Executive of the EDB said: “The large number of international investments, from India through Europe to the US, in to Bahrain over the last year demonstrates that the Kingdom’s wide-ranging attractions to foreign investors remain as compelling as ever; from the most skilled workforce in the region and liberal business environment to the low costs, competitive taxation and ready access to large global markets, including the trillion dollar Gulf market.
“The EDB in Bahrain, and at our offices around the world, in close co-operation with our key partners across Government and the private sector, will be working as hard as ever to deliver further such opportunities for Bahrain in 2012; sustaining economic growth and job creation in the Kingdom for the long term.”
According to the companies that have set up in the Kingdom, the reasons provided for the decision to invest in Bahrain during 2011 have included:
- - The unique and compelling proposition for international investors seeking a base in the GCC for international export
- - The value of basing operations in the Kingdom, including the duty free access to the GCC region and the United States
- - The offer of a highly skilled workforce and a low cost base proved highly persuasive
- - The active support provided by the EDB throughout the process
The Kingdom’s favourable business conditions were further endorsed by the recently released 2012 Index of Economic Freedom by the Heritage Foundation, in which the Kingdom was ranked first in the Middle East and North Africa region, and 12th worldwide, in recognition of Bahrain’s strong economic fundamentals.
Foreign investments in 2011 include:
BASF - German chemicals giant, BASF, announced its largest investment in the Middle East will be based at the Bahrain International Investment Park (BIIP), one of the largest of its kind in the world with an annual capacity of 16,000 metric tons and is expected to be fully operational by the end of 2012. The plant will manufacture a range of customer specific antioxidant blends (CSB). An agreement was also signed between BASF with Tamkeen and the EDB to support the employment and training of Bahrainis for the new operation, which is expected to be a significant addition to Bahrain’s economic make-up as a research and development intensive, hi-tech industry.
DLA Piper - The world's largest global law firm, with 4,200 lawyers in 30 countries and 76 offices decided to further expand its operations in Bahrain by opening a full-service office in early 2011, making it the only international law firm with offices in every GCC country. DLA Piper’s practitioners in Bahrain provide full service business law advice for organizations, both public and private, across the full industry spectrum including oil, banking, intellectual property and technology, employment, global government relations, private equity, real estate, construction, tourism, leisure, and healthcare. They have long-standing relationships throughout the Middle East with clients who have ambitious growth plans internationally, with multinational clients from outside the region who are expanding their Middle East operations and local firms in the region.
Enerflex – a leading oil and gas services company headquartered in the United States and with operations in Europe, Australia, Asia and the Middle East. Established an office in the Kingdom following the award of a service contract with Tatweer Petroleum, and will utilise its operational presence in Bahrain to target further regional expansion. They are also investing in training Bahrainis as part of their operational strategy, and will engage local engineering and fabrication services.
JBF Industries Ltd - the $200 million investment will create a new plastics factory to produce polyester film used in the manufacturing of electronics, food and packaging materials, and create 300 new jobs for the Kingdom. JBF is a publicly listed company based in Mumbai founded in 1982, employing more than 2,500 people, with sales revenue in 2011 reaching $1.5 billion. Construction of the new JBF facility in Bahrain is expected to be complete by end of 2012 with an estimated production capacity of 9,000 tonnes in the first phase.
RMA - Once complete, the new 6,000 sq metre RMA plant will manufacture Pipeline Inspection Gauge (PIG) traps and tee pipe fittings for the oil and gas sector. The €13 million (BD6.8m) investment, based in the Bahrain International Investment Park (BIIP), is expected to bring over 100 jobs to the Kingdom and with 95% of output expected to be for export.
Swinton – Swinton Technology ME, the leading global supplier of Oil and Gas Flow Metering Computer / Control System Solutions and Services, have established operations in Bahrain to service the Middle East, and particularly Saudi Arabia's Eastern Province.
UTC – UTC Fire & Security provides fire safety and security solutions to more than 1 million customers worldwide on an annual basis. The state-of-the-art training centre in Bahrain, which occupies approximately 6,000 square feet will help to facilitate the development and skills needed for Bahrainis and other professionals in the region for fire and security product training for employees, business partners, end users and consultants in the region.
There has been further success in 2012, with AeroThrust Gulf Aviation Services W.L.L. announcing the establishment of a US$20 million aircraft engine Maintenance, Repair and Overhaul (MRO) facility in Bahrain.
