Mubasher: Foreign direct investment (FDI) inflows to Bahrain have increased by 114% in 2017, according to recent data released by the United Nations Conference on Trade and Development (UNCTAD).

This surge registered the fastest growth rate across the GCC states, while the rapid growth was witnessed despite a decline of 23% in global FDI.

Investment growth in Bahrain was endorsed by a number of major economic reforms in recent years with the UNCTAD citing Bahrain’s amendments to its commercial companies’ law that allowed 100% foreign ownership in additional sectors as an example of liberalisation supporting FDI growth. This has continued into 2018 with several significant developments in the first half of the year.

“Foreign direct investment creates jobs, diversifies the economy and fuels growth – so we are delighted to see such strong momentum, even against a challenging global backdrop. This proves the growing interest in the GCC opportunity is translating into investment,” the chief executive of Bahrain EDB, Khalid Al Rumaihi, said.

Bahrain’s reforms were also recognised after the Site Selection magazine recently named Bahrain as the best place to invest in the Middle East and Africa per capita for the third successive year.

“The rankings also saw Bahrain EDB included in the list of Top Investment Promotion Agencies for 2018, one of only four agencies from the region included,” the report added.

Bahrain has also been ranked as the best place in the world for expatriates to live in.

The reforms also included Bahrain FinTech ecosystem, with the launch of Bahrain FinTech Bay, the largest fintech hub in MENA; the establishment of a $100m Fund of Funds to help fund start-ups across the Middle East; and an increasing number of companies using the Central Bank of Bahrain’s (CBB) regulatory sandbox to develop new products and services.