RIYADH: Bahrain’s real gross domestic product grew by 2.7 percent year on year in the first quarter of 2025, supported by a 2.2 percent increase in non-oil activities, according to official data.
The Ministry of Finance and National Economy revealed in its “Bahrain Economic Quarterly Report” for the first quarter of 2025, steady economic expansion driven by robust non-oil sector performance and rising foreign investment.
Preliminary data from the Information and eGovernment Authority also showed a 5.3 percent rise in the oil sector. In nominal terms, GDP expanded by 3 percent, with non-oil and oil sectors growing by 2.8 percent and 4.6 percent, respectively. The non-oil division remained the dominant force, contributing 84.8 percent to real GDP.
Bahrain’s economic growth aligns with that of its Gulf Cooperation Council neighbors. In the first quarter, Saudi Arabia’s economy grew by 3.4 percent year on year, driven by strong non-oil sector performance. This trend reflects the World Bank’s June projections, which forecast GCC-wide growth to reach 3.2 percent in 2025 and accelerate to 4.5 percent in 2026, following a modest 1.8 percent expansion in 2024.
“The Kingdom of Bahrain has continued to make notable progress across several international economic and development benchmarks, reflecting the Kingdom’s commitment to economic diversification, global standards, and enhancing its business environment through the adoption and implementation of a number of ambitious strategies and initiatives,” the ministry said in a press release.
