Latest news with #BahrainEconomy
Zawya
29-05-2025
- Business
- Zawya
Bahrain-listed companies' net profits rise 2.2%
Bahrain - Bahrain-listed companies saw a modest uptick in net profits during the first quarter of 2025, climbing 2.2 per cent year-on-year to $465.3 million. Analysis by Kuwait-based Kamco Invest shows that this slight increase was primarily driven by strong performance in the banking, transportation, and capital goods sectors, which helped offset declines across the majority of the exchange's 14 industry segments. The banking sector emerged as the clear leader, with its net profits surging 16.8pc to $289.4m in Q1-2025. This boost largely stemmed from Bahrain Islamic Bank, which reported a multi-fold increase in net profits to $26.5m. The bank's improved performance was attributed to higher net interest income, despite a dip in non-interest income and increased impairments. Arab Banking Corporation (Bank ABC) posted the highest net profits among Bahraini banks, reaching $76m, a slight rise from the previous year, aided by reduced impairments. National Bank of Bahrain also saw a 2.2pc gain in net profits, hitting $74.6m, propelled by an increase in non-interest income. In contrast, the materials sector experienced a significant setback, with net profits plummeting 25.9pc to $48.1m. Alba, the sector's sole constituent, cited higher production costs as the main culprit, which eroded its EBITDA and ultimately its bottom line. This occurred despite a 20pc rise in LME aluminium prices and a 38pc increase in premiums. The telecom sector also faced headwinds, with total net profits declining 3pc to $51.1m. Batelco (Beyon), the dominant player, reported a 3.8pc drop in net profits to $48m. The company attributed this decline to the implementation of Domestic Minimum Top-Taxes (DMTT), which took effect on January 1, 2025, as well as costs associated with acquisitions completed in 2024. Meanwhile, aggregate net profits for companies listed on GCC exchanges rose 2pc year-on-year in the first quarter of 2025, reaching $58.6 billion, primarily driven by strong performances in the banking, telecom, and real estate sectors. This modest improvement came despite a 5.7pc decline in profits from the energy sector, largely due to a 7.5pc year-on-year drop in net profits from Saudi Aramco. Excluding Aramco's results, total GCC corporate profits would have increased by 10.7pc in Q1 2025. The GCC banking sector was a significant positive contributor, with aggregate earnings surging 10pc year-on-year to $16bn. Banks in Abu Dhabi, Saudi Arabia, and Bahrain all reported double-digit profit growth. While the energy sector as a whole saw a decline, 17 out of 27 listed energy companies reported improved net profits. The GCC telecom sector experienced a robust 45.3pc year-on-year growth in net profits, reaching $3.5bn, with broad-based double-digit gains across most GCC countries. The GCC real estate sector also posted a strong performance, with net profits increasing by 55.5pc year-on-year to $2.9bn. This growth was led by substantial gains in the UAE, where real estate company profits rose 38pc to $2.1bn, and in Saudi Arabia, which saw a multi-fold increase to $472.7m. Copyright 2022 Al Hilal Publishing and Marketing Group Provided by SyndiGate Media Inc. (
Zawya
19-05-2025
- Business
- Zawya
Bahrain's economy ‘witnesses solid growth in fourth quarter'
Bahrain's economy saw solid growth in the fourth quarter of 2024, driven by a robust expansion in its non-oil sector, though trade within the GCC experienced a slight dip, according to a new report. The report by the Bahrain Chamber reveals that the kingdom's real Gross Domestic Product (GDP) expanded by 3.4 per cent year-on-year in Q4 2024. This growth was largely fuelled by a 4.6pc surge in the non-oil sector. In contrast, the oil sector contracted by 3.5pc. Among the non-oil sectors, Information and Communication led the way with a remarkable 12.4pc growth. Transportation and logistics also saw significant expansion, growing by 11pc, while the manufacturing sector grew by 7pc. Financial and insurance activities remained the largest contributor to Bahrain's real GDP, accounting for 17.3pc. Despite the strong domestic performance, trade between Bahrain and its GCC neighbours saw a slight decrease. The total volume of trade between Bahrain and other GCC countries fell by 2pc to $2 billion in Q4 2024, compared to $2.03bn in Q4 2023. However, trade between Bahrain and Qatar bucked this trend, soaring by 255pc. In Q4 2024, trade with Qatar reached $116.05 million, a significant jump from $32.73m in the same period of the previous year. Saudi Arabia remains Bahrain's largest trading partner within the GCC, with trade increasing by 2pc to $984m. The UAE was the second-largest, although trade between the two countries decreased by 10pc to $710m. Trade with Kuwait and Oman also declined, falling by 18pc and 24pc, respectively. China continues to be a major player in Bahrain's trade. It is Bahrain's top import partner, with imports valued at $571.2m, with smartphones being the top imported commodity. Saudi Arabia is the top export partner, with exports valued at $739.4m, with iron ores and concentrates leading exports. Bahrain also saw increases in domestic financial transactions. Fawri+ transactions, an instant fund transfer service, increased by 12pc, and Point of Sale (POS) transactions rose by 14pc in Q4 2024 compared to the same period in 2023. Copyright 2022 Al Hilal Publishing and Marketing Group Provided by SyndiGate Media Inc. (
The National
14-05-2025
- Business
- The National
AI is changing the future of research, but not in the way we think
Omar Al-Ubaydli is director of economics and energy studies at Derasat in Bahrain and a columnist for The National
Asharq Al-Awsat
06-05-2025
- Business
- Asharq Al-Awsat
Bahrain's Economy Expands 3.4% in Q4 Driven by Non-oil Growth
Bahrain's economy expanded by 3.4% in the fourth quarter compared to a year earlier, the finance ministry said on Tuesday, citing preliminary data. Growth was driven primarily by a 4.6% increase in non-oil activities, while oil activities declined by 3.5% over the same period, data from the Gulf nation's Information and eGovernment Authority showed. For 2024, Bahrain's real total gross domestic product grew by 2.6%, according to the statement. According to projections from the ministry, Bahrain's real GDP is expected to grow by 2.7% in 2025, due to a 3.4% expansion in non-oil activities, coinciding with the operation of the Bapco Modernization Program. The Bapco Modernization Program, one of Bahrain's largest energy investments, is expected to significantly raise refinery output, bolstering fiscal revenues amid efforts to diversify the economy. Growth is forecast to reach 3.3% in 2026, supported by a 3.9% increase in non-oil activities. "However, the forecasts will be closely monitored and updated to account for the ongoing global uncertainty and escalating turmoil that may affect the economic projections," the ministry said. Last month, global ratings agency S&P Global downgraded Bahrain's outlook to "negative" from "stable", citing ongoing market volatility and weaker financing conditions that could increase the government's interest burden. Escalating trade tensions have added to global economic uncertainty, clouding macroeconomic forecasts and weighing on investor and policymaker confidence around the world.
