MANAMA: In the second quarter of 2024, Bahrain’s economy demonstrated resilience, achieving a real gross domestic product (GDP) growth of 1.3 per cent compared to the previous year.
The improvement is noteworthy against the backdrop of a significant 6.7 per cent decline in the oil sector, which has historically been a cornerstone of the country’s economic landscape.
According to the Bahrain Economic Quarterly Report released by the Ministry of Finance and National Economy, the country’s economic diversification efforts are beginning to bear fruit, particularly through the non-oil sector.
The non-oil sector’s growth, recorded at 2.8 per cent, has been fueled by a robust performance in emerging industries.
Notably, the transportation and storage sector surged by an impressive 12.9 per cent year-on-year, reflecting increased logistics and infrastructure development.
Additionally, the information and communications sector expanded by 11.2 per cent, highlighting Bahrain’s strategic investments in technology and digital transformation. The accommodation and food services sector also showed significant promise, growing by 10.6 per cent as a result of rising tourism demand.
Moreover, mature sectors within the non-oil economy displayed commendable stability and growth.
The financial and insurance sectors grew modestly by 2.1 per cent, while manufacturing experienced a slight increase of 1.7 per cent compared to the same quarter in 2023.
These figures underscore the importance of a balanced economic approach that utilizes both emerging and established sectors to foster sustainable growth.
