General information on Bahrain

An overview

Bahrain, which loosely translated means 'two seas', is an island state situated halfway down the western shore of the Arabian Gulf. An archipelago of 33 islands, the State of Bahrain is connected to the industrial Eastern Province of the Kingdom of Saudi Arabia by a 25km "bridge", the King Fahad Causeway. To the east, 50km away is Qatar, 400km north west Kuwait and 400km south east the United Arab Emirates.

Bahrain, or Dilmun as it was known in antiquity, has always been, because of its strategic position and its plentiful freshwater springs, an important trading center. Its sea-faring people traded between the Indus Valley and Mesopotamia (modern-day Iraq) as far back as the third millennium BC. One of the archaeological relics in the National Museum is a letter of credit carved in stone which bears testimony to the importance of Bahrain as an ancient trading post.

The Bahrain of the twentieth century complements the rich heritage of the past. The famous Bahraini natural pearl industry was eclipsed by the Japanese artificial version at about the same time that oil was discovered in the Gulf in Bahrain. The first Bahrain oil well. still to be seen today, came on stream in 1932.

Although not a significant oil producer, Bahrain has become a major financial and trading center, thanks to:


Life-style/quality of life

Life is pleasant in Bahrain. In comparison with major European and American cities the costs of hotel, labor, office rents, electricity and water are reasonable and even within the Middle East, are competitive.

With virtually a crime-free environment, very low rates of inflation and its central location, Bahrain is also proving to be an attractive destination for tourists, both within the Middle East and for other transit visitors. Some factors contributing to the high quality of life are:


Physical characteristics

Bahrain, a group of 33 islands, with an area of 676 square kilometers, is situated in the Arabian Gulf, off the east coast of Saudi Arabia. The local time is GMT +3 hours.

The state takes its name from the largest island Bahrain, which is 586.5 square kilometers. It is linked by causeways to Muharraq (international airport) and Sitra (industrial area and tank-farm). There are numerous other tiny islands but they are mainly uninhabited and are best known for the variety of migrating birds which pass through in spring and autumn.

The climate is hot in summer and mild in winter. From November to April is very pleasant, with temperatures from 15 to 24 degrees centigrade. Temperatures are coolest between December and March when northerly winds prevail. From July to September temperatures average 36 degrees centigrade with high humidity.

The annual average rainfall is approximately 77 millimeters.

The Arabian Gulf has an average depth of only 35 meters and most of it in the vicinity of Bahrain is much shallower than this


Population and employment

The total population in 1992 is estimated to be 518,000, two-thirds of whom are Bahrainis and the balance foreigners. A full census has recently been completed. Islam is the state religion and 85 per cent are Muslims. There are also Christians, Jews, Hindus and Zoroastrians. There are also places of worship for different faiths. Arabic is the official language, although English is widely spoken and is the accepted commercial language.

There are approximately 190,000 workers in Bahrain, of whom 84,000 are Bahraini and 106,000 are non-Bahraini. Government policy is "Bahrainisation", however, not with a goal to replace all foreign workers but to assure the full and effective utilization of the human resources of the state. An educated indigenous work-force proficient in English, at half of the cost of industrialized countries, is available. Processing work permits for employing foreign workers is fairly straightforward.

Government


Bahrain gained full independence from British protection in 1971 and the government is administered by a cabinet, comprising members of the ruling Al-Khalifa family and the educated elite from the public. The Head of State is His Highness the Amir, Shaikh Isa Bin Sulman Al-Khalifa.

Apart from providing a stable government, it has been an active policy to encourage foreign investment and support private enterprise.

Bahrain became a member of the United Nations and the Arab League in 1971. In 1981 it joined its five neighbors - Saudi Arabia,Oman, Kuwait, the United Arab Emirates and Qatar - to form the strategic alliance called the Gulf Co-operation Council (GCC). The GCC is plans to have a common market by 1999 similar to that of the European Community countries.

Bahrain has an independent legal and judicial system with a framework of commercial laws and, on this strength and its well developed infrastructure, has become an international and GCC arbitration center.


Transportation and communications

Bahrain International Airport, which handles over 4.5 million passengers a year, has a fully automatic landing system, a large automated air cargo terminal and an attractive duty-free shopping complex. It is a scheduled stop for 23 airlines, including Gulf Air, British Airways, Cathay Pacific, Saudia, Lufthansa, KLM, Air India and UTA.

The newly designed passenger terminal can handle up to ten million passengers a year. Gulf Air has its headquarters in Bahrain and offers a service to most Middle East destinations. Bahrain is also a regional hub for major courier companies.

The major sea port, Mina Sulman, was established in 1954 and can accommodate vessels up to 65,000 tones. It has a container capacity of 150,000 TEU's per year, a competitive port tariff service, large covered storage area, bonded area with minimum documentary requirements and comprehensive marine engineering and repair facilities. Construction of a new port near Hidd is expected to start in 1993. With a deeper access channel, it will be able to receive larger ships.

Bahrain has good road systems which are being continually improved. The 25 kilometer link to Saudi Arabia, the King Fahad Causeway, puts Bahrain drivers within an hour of the major population centers of the Eastern Province of Saudi Arabia and about four hours of driving to Kuwait and Riyadh. The Causeway provides fast direct accessibility to the markets of Kuwait, Saudi Arabia, Qatar, UAE, Oman and the rest of the Middle East.

Bahrain was the first country in the Middle East to install a satellite communication system and its telecommunication system is among the most advanced in the region with over 90 per cent of its network equipped with digital transmission. The comprehensive range of services available includes:


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