Bahrain has not witnessed a mass withdrawal of investors following the regional conflict, although some companies have delayed investment decisions as they assess the situation, Noor bint Ali Alkhulaif, Minister of Sustainable Development and chief executive of the Bahrain Economic Development Board (EDB), said.
Speaking during a media interaction at the fourth edition of Gateway Gulf 2026, Alkhulaif said investors continue to show confidence in Bahrain’s underlying investment proposition, while recent regional developments have accelerated the Kingdom’s focus on logistics, food security, medicine supply chains and emerging technologies.
She said the government has been maintaining transparency with investors and working to strengthen Bahrain’s position as a gateway to the wider Gulf market.
How has the regional conflict affected investor confidence in Bahrain?
Investors have continued to demonstrate support and confidence towards Bahrain despite the regional uncertainty. The Kingdom has not seen a mass withdrawal of investors or companies as they no longer wanted to operate there.
Investors were seeking to understand developments in the immediate environment and how the situation was evolving. Some chose to delay their decisions, particularly when travel and business operations were involved.
Bahrain is providing clear and realistic information to investors and is being transparent about the circumstances. The government did not want to encourage anyone to visit without being honest about potential risks.
Have investors changed their perception of Bahrain’s investment fundamentals after the conflict?
There has been no significant change in investors’ attitudes towards Bahrain. Investors who were interested in entering the market continue to remain interested.
In some cases, decisions were delayed because governments advised against travel or asked companies to postpone certain activities. This was not because investors lost interest in the country or changed their views about its investment proposition.
Bahrain continues to engage with companies already established in the Kingdom, including their regional teams and headquarters, to ensure that decision-makers have a clear understanding of the situation.
What investment sectors have gained greater importance following the regional conflict?
The recent developments have accelerated Bahrain’s focus on logistics, air connectivity, food security and medicine supply chains.
Strengthening air connectivity and logistics capabilities was already part of the Kingdom’s strategy, but the regional situation accelerated discussions with international partners.
AirAsia announced it would establish its presence in Bahrain, saying the development could create wider opportunities in logistics beyond the airline itself.
Food security and pharmaceutical supply chains have also become important priorities. Bahrain has been developing partnerships, including with regional partners, to improve the resilience of essential supplies.
The Kingdom has been exploring investments in artificial intelligence, robotics and autonomous vehicles.
How is Bahrain assessing its economic performance amid the regional uncertainty and lower growth forecasts?
GDP remains an important indicator of economic performance, but the government has also been looking at the actual level of activity taking place across the economy.
Bahrain is tracking investment agreements, business announcements and expansions to assess economic activity on the ground.
More than 100 agreements and announcements, including around 60 made at an event last month, covering digital banking initiatives, partnerships and business expansions.
The government has also been comparing its internal economic projections with forecasts from international institutions such as the International Monetary Fund (IMF), as many investors relied on such figures to assess Bahrain’s economic outlook.
We use GDP figures as one indicator, but we also look at the actual activity taking place across the economy.
