NewsCase StudiesEvents

Financing a Business in Bahrain


Financing a Business in Bahrain

Recent forum posts


  1. Global Online English school advertising

    Hi , I have an online English school based in the U.K. and Spain. I'm looking to grow my business.Where is the best place to advertise for students.

    Total Posts: 1 Last post by Teacher02

  2. Starting a new business in India

    I run a UK business and my fellow Director is an Indian National (I am a British citizen).We now want to launch our company in India and I am struggling to make any progress with the Indian High Commission. Can anyone help me with the process. I have twice visited the commission in London and wasted hours of time due to their complete lack of organisation.I will appreciate any help to make

    Total Posts: 12 Last post by samui

Financing a Business in Bahrain

Government Incentives

Launched in October 2008, the Vision 2030 economic plan was unveiled with the intention of encouraging growth in the non-oil sector by promoting logistics, manufacturing, transport and other export market businesses. Special investment zones were created, such as the Bahrain International Investment Park, in a bid to attract industry. The zones offer the following incentives for companies wishing to start a business in Bahrain or invest in Bahrain:

  • Zero tax for 10 years
  • 100 percent foreign ownership
  • Exemption from port duties on equipment and raw materials
  • Duty free access to all GCC (Gulf Corporation Council) markets
  • Free trade access to USA
  • 100% repatriation of capital when transferring money back to your home country
  • No recruitment restrictions
  • No minimum capital required

The government also incentivises the investment of capital with the following pledges:


The government is offering a subsidy of $11,925 annually for the first three year for each Bahraini national employed by a foreign company. Additional incentives for the opening of factories also exist.

Electricity Charges


The government has pledged to rebate half of business electricity costs for new businesses for the first five years across all industry.

Government Land Subsidies

Any new business renting government industrial areas will be entitled to a full rebate for the first five years across all industry


A rebate on all customs duties will be offered across all industry for any new business for the first five years.

Export Credit


The government will offer an export credit facility to all industries.

Tariff Protection

If approved by the National Committee on Tariff, a protection of between 10 to 20 percent will be offered to businesses investing in pioneering industries.

For further information, a good reference point is

Private Funding

With the centralised and bureaucratic nature of securing funding from the banking industry, it is important that a coherent business plan and a good understanding of the local regulatory system and local customs are important.

The financial system in Bahrain is regulated by the Central Bank of Bahrain and a number of international institutions have a presence in the region, such as Citibank, Merrill Lynch and Arab Bank. The country is also renowned as a centre for Islamic Banking.

Click here to Ask an Expert about Financing a Business in Bahrain

Organisations that can assist with Financing a Business

You are not logged in!

Please login or register to ask our experts a question.

Login now or register.