BUSINESS

Nearly SR3bn in trade between Bahrain and KSA in Q1 2021

April 27, 2021

MANAMA — The Kingdom of Saudi Arabia (KSA) accounted for almost half of all GCC trade with Bahrain during the first quarter of 2021. Non-oil trade between the two countries reached SR2.96 billion ($789 million) according to the latest figures released by Bahrain’s eGovernment and Information Authority; reflecting both Kingdoms’ commitment to ongoing economic diversification.

The continuous flow of trade is largely due to the uninterrupted movement of commercial goods between the two countries via the King Fahd Causeway. New logistics technology and the introduction of the Authorized Economic Operator (AEO) program that expedites processing for multinationals based in Bahrain and Saudi Arabia has cut the waiting period for trucks from an average of four hours to 20 minutes.

Discussing the trade figures between KSA and Bahrain, Ali Al Mudaifa, executive director of Bahrain’s Economic Development Board said: “Bahrain’s trading relationships continue to grow strongly. Bahrain offers the region’s best value operating costs and great connectivity — only a 40-minute drive away from the region’s biggest market — coupled with the introduction of the AEO and advanced logistics technology have helped to drive increased trade. It is great to see both Kingdoms working to find creative solutions to keep business flowing across our borders.”

The total value of trade in between the GCC and Bahrain reached SR6.6 billion ($1.76 billion), a rise of 6 percent from Q1 2020. Reaching second place in GCC trade with Bahrain is the United Arab Emirates (UAE), recording SR2.4 billion ($639 million), an increase of 15 percent from Q1 2020. Trade with Oman also showed a significant increase, reaching SR862 million ($230 million), a 27 percent rise from Q1 2020. Oman was followed by Kuwait, recording SR 367 million ($98 million) in bilateral trade in Q1 2021.

The value of global imports increased by 4 percent, reaching SR13.2 billion ($3.52 billion) during the first quarter of 2021. Exports of nationally produced products from Bahrain increased by 18 percent, reaching SR6.75 billion ($1.811 billion) globally. The manufacturing sector is a key driver of the Kingdom’s economic diversification and a significant and consistent contributor to Bahrain’s economy accounting for 14.5% of the GDP.


April 27, 2021
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