Most investors ‘expect stability in third quarter’in Bahrain

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Nine out of 10 (91.1 per cent) investors expect stability in Bahrain’s investment climate during the third quarter this year, according to a new survey by the Information and e-Government Authority (iGA).

Releasing the findings of the latest Business Confidence Environment Survey, the agency said yesterday that 91.1pc of companies polled have a stable to optimistic outlook for Q3, which is an increase of 2.4pc compared to the previous quarter (Q2).

The study further revealed that 41.5pc of companies expect a stable business performance, while 49.6pc anticipate improvement.

The iGA carries out a quarterly survey on a sample of the business community to measure business confidence by company size, industry, and investment type, which is captured in the Business Confidence Index (BCI).

A positive outlook overall was recorded in the BCI’s business performance, profits, and competition sub-indices for Q3 2022, the report found.

The business performance sub-index stands at 99.25 points in Q3 of 2022 compared to 98.13 points registered in Q2 of 2022, an increase of 1.12 points or 1.14pc than the previous quarter.

The current index has seen a rise of 14.16 points compared to the same period of 2021.

A total of 82.9pc of companies experienced stable to favourable business performance during Q2 of 2022, whereas 61pc of companies revealed stability in their performance, and 21.9pc expressed satisfaction.

In contrast, 17.1pc of companies showed dissatisfaction with their business performance.

Companies included in the study range from micro to large enterprises, including those classified as foreign and local investments (based on commercial registrations (Sijilat).

The aim of the survey is to provide an indicator of the confidence levels of active establishments registered at the Industry and Commerce Ministry, as well as those licensed by Central Bank of Bahrain (CBB).

The availability of this information helps foster an investor-friendly and competitive business environment, allowing decision-makers to take appropriate actions based on confidence levels relative to company size, industry, and investment type, the iGA said.

avinash@gdnmedia.bh