• Non-oil exports : $ 3.53 billion
  
• Non-oil imports : $ 3.41 billion
  
• Oil exports : $ 14.25 billion
  
• Oil imports : $ 7.95 billion

Training : Tamkeen (Labour Fund) signed a BD 500,000 agreement with a Microsoft certified firm Exceed IT to train 100 Bahrain University students for jobs in the IT industry. The agreement is aimed to bridge the gap between academic life and a successful working life by providing opportunities to gain practical experience. Under the agreement, the students will receive theoretical and practical training for a year.

Telecom : Kalaam Telecom signed a strategic alliance with Gateway Gulf to offer financial and corporate customers the highest level of network and systems reliability available in Bahrain. Kalaam Telecom is one of the only operators in Bahrain to offer both diverse and redundant links on the last mile connectivity.

Oil and Gas : Bahrain is planning to spend more than $ 20 billion in the next 20 years on developing its oil and gas sectors. This would include an expenditure of $ 15 billion on the development and modernization of the Bahrain Oil Field and $ 5 billion on modernizing the Bapco refinery. The expansion would also mean thousands of Bahrainis gaining employment in the oil sector as well as more opportunities for Bahrain businesses and suppliers.

Roads-Rail : Bahrain is planning to spend billions on a roads and rail revolution, bring in rapid-transport networks and slashing fatalities on its highways. Blueprints include a 180km public transport network comprising light rail transit, a monorail, a tramway and rapid-transit buses. Hi-tech traffic management equipment is being introduced, to cut fatal accidents on the roads by 30 percent within ten years. The monorail alone could cost BD 3 billion and studies on how to finance it are already underway, with a completion target of 2030.

Technology Centre : Banawi Industrial Group is planning to set up a new world-class technology centre at the Bahrain International Investment Park (BIIP). It is one of the leading regional manufacturing companies in specialty chemicals and packaging. The centre is in keeping with the group's commitment to provide cutting-edge, technology-based solutions to its customers throughout the region.

Bahrain China : An eight-member delegation led by Tan Weiwen, Director, Centre for South-South Industrial Cooperation, China visited Bahrain on 10th May 2009 and held meeting with Government officials on strengthening economic ties between the two countries. Cooperation between Bahrain and China in the construction sector was also discussed in the meeting. The two sides also discussed attracting commercially viable businesses in China through joint ventures with Bahrainis in value-added jobs and good compensation packages for employees. The Minister of Housing signed an agreement to set up a centre for building technology developed in China through the United Nations Industrial Development Organisation (Unido).

Bahrain-Luxembourg : A delegation led by Luc Frieden, Minister for the Treasury and Budget, Luxembourg, visited Bahrain on 9th May 2009 and held meeting with the Minister of Finance Shaikh Ahmed bin Mohammed Al Khalifa. Both the Ministers signed a convention for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and on capital. The convention applies to taxes on income and on capital imposed on behalf of each country or its local authorities, irrespective of the manner in which they are levied. The convention complies with the standard on exchange of tax information set by the Paris-based Organisation for Economic Cooperation and Development which was recently endorsed by the G20 at its London Summit.

Bahrain-Nuremberg : A commercial delegation led by Dr. Ronald Fleck, Deputy Mayor of Nuremberg City and Chief Executive of Business and Infrastructure of Nuremberg Metropolitan Region visited Bahrain on 18th May 2009. They held meeting the Dr. Hassan Fakhro, Miinister of Industry and Commerce and officials of the Bahrain Chamber of Commerce and Industry. A Memorandum of Understanding was signed to enhance and develop economic cooperation.

Bahrain-UAE : Bahrain-based Khaleeji Commercial Banks (KHCB) signed a $ 25 million banking facility with Sharjah-based Bukhatir Group to support its expansion projects. Bukhatir is one of the largest and diversified business groups with interests in construction, education, engineering services, information technology, manufacturing and real estate.

Cement : The Saudi Trade and Industry Ministry lifted its restrictions on cement exports to various countries including Bahrain from 25 May. Exports to Bahrain were restricted to 25,000 tonnes a week from May 2008 causing crippling shortages and halting of delaying construction projects. Bahrain was forced to import cement from further away and the crisis was compounded by massive delays in getting trucks carrying limited supplies across King Fahad Causeway. Bahrain needed around 50,000 tonnes of cement a week.

Economy : Bahrain's national economy continues its steady momentum, growing by 6.3 percent in 2008. he contribution of the non-oil sectors to the national economy also grew by 7.2 percent. Meanwhile, the contribution of the oil sector to the national economy fell by 12.8 percent. The social services sector posted the highest rate of growth, topping 10.3 percent. The Governmental services sector also boasted a significant rate averaging 9.3 percent. Telecommunications and construction posted 8.8 percent and 8.5 percent growth respectively.

Rating : According to International rating agency, Fitch, Bahrain's economic performance and management of the domestic economy has been given a vote of confidence. Fitch affirmed that Bahrain's long-term foreign currency Issuer Default Rating (IDR) at “A” and long-term local currency IDR at “A+”, both with stable outlooks and the country ceiling at “A+”. Bahrain's economy has grown by 6.3 percent in constant in constant prices in 2008.

Oil : Production of Bahrain Oil Filed during January-March 2009 increased by 62 percent compared to the same period 2008, at a daily rate of 33,598 barrels. The increase in production is due to regular maintenance programmes undertaken by the Bahrain Petroleum Company (Bapco). Crude oil imported from Saudi Arabia via pipelines dropped by 19 percent to 189,661 barrels daily due to scheduled periodic maintenance works.

Banks : Central Bank of Bahrain, on 30th May, announced that Bahrain's banking sector remains the best in the Gulf, Asia and Middle East in terms of performance despite the global downturn, which caused international financial institutions to collapse. Only three out of 120 financial and banking institutions registered losses last year. On the contrary, local banks posted profits of more than nine percent.

Bintel : Bintel, on 3rd May, signed an agreement with Almoayed Systems Group to implement the Microsoft Dynamic NAV enterprise resource planning (ERP) solution. The deal would enable Bintel, the telecommunication services providers in the Middle East and Africa to streamline its business processes and boost company-wide productivity and allow them to connect to their customers, suppliers and partners in a more organized and cost-effective manner.

Bahrain Air : Bahraini Air signed a commercial agreement to wet lease an A319 aircraft to Alpine Air of Nepal. It will be providing assistance in other commercial and technical areas to Alpine Air. The airline will use the aircraft on its Delhi sector from Kathmandu. It also signed a commercial joint venture agreement appointing Addax of Bahrain to operate its cargo division from 1st June 2009. This is the first of its kind in the recent times and it is in line with Bahrain Air Strategy of diversifying and introducing innovative ideas to meet the customer demand at affordable rates. The airline is planning to operate Mumbai and Istanbul in July with Sanaa, Addis Ababa, Karachi, Lahore, Dhaka and Riyadh by October.

Disaster Risk Reduction : United Nations Secretary-General Ban Ki-moon visited Bahrain on 17th May 2009 to attend the launch of the UN Global Assessment Report on Disaster Risk Reduction. Bahrain has stepped up its defences against natural disasters, to combat the increasing risk worldwide. Bahrain was among the first Arab states to submit a disaster reduction strategy report the UN Secretariat. The report has come out with a 20-point plan to reduce risk and accelerate efforts to avoid dangerous climate change.

A historic agreement tat aims to achieve gender equality in Bahrain was signed by the United Nations Development Programme (UNDP) and Supreme Council for Women (SEW). The deal also aims to strengthen and promote the cooperation between both organizations toward implementing Bahrain's National Strategy on the Advancement of Bahraini Women. Political and economic empowerment of women and gender mainstreaming into national development plans are also key objectives of the deal.

Ban on Alcohol sales : MPs proposed for a blanket ban on public sales of alcohol at Bahrain's hotels, restaurants, clubs and off-licences. However, according to business leaders, Bahrain's hospitality industry would be decimated if the ban goes ahead. Nearly a quarter of Bahrain's working population is employed in the industry, many of them Bahrainis.

Exhibitions/Fairs/Seminars

GulfBID 2009 : M/s. Al Hilal Group of Bahrain organized the GulfBID 2009, a major construction and interiors exhibition in Bahrain on 5-7 may 2009. The latest products, cutting edge technology and services from local, regional and international companies of repute were showcased at the event. More than 190 exhibitors from 26 countries across the world participated in it. Projects worth of $ 2.1 trillion are in various stages of planning and execution in the Gulf despite the impact of the worldwide crisis.
WEF : Crown Prince and Economic Development Board Chairman Shaikh Salman bin Hamad Al Khalifa and his accompanying delegation participated in the World Economic Forum 2009 held in Jordan on 15-17 May 2009. Bahrain outlined its strategy to strengthen its position as the regional hub for investors. The Forum was held under the them ‘Implications of the Global Economic Crisis for the Middle East : Home-grown Strategies for Success'.

BITE 2009 : M/s. Magnum Holdings Company and Magnum Events and Exhibitions Management, organized the Bahrain International Travel Expo (BITE 2009), the first business-to-consumer focused travel and tourism event in the region in Bahrain on 14-16 May 2009. The range of exhibitors included airlines, car rental companies, conventions and exhibitions organizers, cruise lines, health resorts and spas, hotel accommodation providers, MICE organizers, tourist attractions, tourism boards, tourism TV channels, tour operators and travel insurance providers as well as travel and tourism publications. More than 20,000 consumers and influential travel industry executives were visited at the event.

Shri C. Gangadhar, Director (West Asia), Dubai-based Government of India Tourism Office also participated at the event. According to him, the number of Bahrainis traveling to India registered a six percent increase in 2008 compared with 2007 and is expected to increase considerably as India has launched the Visit India year 2009. Several airlines operating out of Bahrain and domestic airlines in India have launched special offers during BITE 2009 for foreign as well as Indian tourists visiting the country.

ICT Expo 2009 : Bahrain Society of Engineers in collaboration with the Bahrain Internet Society and the Bahrain Information Technology Society, organized the Bahrain Information Communication Technology (ICT) Expo 2009 in Bahrain on 25-27 May 2009. The event has attracted about 400 participants including GCC 2-Governent authority chiefs, UN experts, an elite group of regional and international e-government specialists, representatives of ministries and government establishments, representatives of ICT companies, technological associations, GCC chambers of industry and commerce, academics and researchers. Zain Bahrain and the Bahrain Telecommunications Company showcased their cutting-edge technology at the Exhibition.

Management Conference : The Bahrain Management Society (BMS) organized the fifth Management Conference on 27-28 May 2009, under the theme, Transparency in Business and Corporate Responsibility. A total of 14 papers were discussed in the conference which attracted 180 executive directors, senior officials and representatives from the public and private sectors.

XVIII. Executive Summary

Major trade and economy related events and developments during May 2009 :

• Tamkeen (Labour Fund) signed BD 500,000 AGREEMENT WITH Exceed IT to train 100 Bahrain University students
  
• Kalaam signed strategic alliance with Gateway Gulf
  
• Khandwala Securities Limited, India's officials visited Bahrain to attend the Annual World Islamic Fund and Capital Markets Conference.
  
• Chinese delegation visited Bahrain.
  
• Luxumbourg delegation visited Bahrain.
  
• Muharraq Municipality signed MoU with Marrakec, Morocco.
  
• A commercial delegation from Nuremberg visited Bahrain.
  
• KHCB signed $ 25 million banking facility with Bukhatir Group.
  
• Saudi lifted restriction on cement exports.
  
• Bintel signed agreement with Almoayyed Systems Group.
  
• Bahrain Air signed a commercial agreement to wet lease an A319 aircraft to Alpine Air of Nepal.
  
• UN Secretary General visited Bahrain to attend the launch of UN Global Assessment Report on Disaster Risk Reduction.
  
• MPs proposed ban on public sales of alcohol.
  
• Following events were held :
  • GulfBID 2009
    
  • BITE 2009 – GOITO, Dubai participated.
    
  • ICT Expo 2009
    
  • Management Conference by Bahrain Management Society.