Foreign direct investment (FDI) flows in Bahrain surged by 73 percent to $1.766 billion in 2021, up from $1.021 billion in 2020, driven by the economic recovery plan, according to the United Nations Conference on Trade and Development (UNCTAD)’s World Investment Report for 2022.
Experts highlighted that, despite the effects of the Covid-19 pandemic, Bahrain’s high rate of foreign investment confirms the success of Bahrain’s policies and plans in coping with the epidemic on all health, economic, and social levels.
The report cited the economic recovery plan’s success in achieving its goals of increasing Bahrain’s competitiveness by adopting promising strategies for various sectors. It also stated that the plan succeeded in embracing initiatives that led to enhancing procedure streamlining, as well as incorporating approaches that facilitated the implementation of major projects.
In addition, the analysis stated that the FDI inflow into the GCC states jumped by two-thirds to hit $44 billion in 2021 from the previous year, which was impacted by the Covid-19 pandemic.
The UNCTAD further confirmed that global FDI has rebounded to pre-pandemic levels, registering a 64 percent increase in 2021 compared to the previous year, bringing total flows to $1.58 trillion.