Economic Activities in Bahrain: Primary, Secondary, Tertiary, and Quaternary

Bahrain, with a population of approximately 1,588,670 (World Bank, 2024), is ranked 147th in the world by population, just behind Trinidad and Tobago. Located in the Middle East, it covers a total area of 790 square kilometers, ranking 168th globally, just below Kiribati.

Bahrain’s economic position in 2024 showcases a GDP of approximately $47.1 billion (current US$, World Bank 2024), ranking 93rd globally. The GDP per capita for Bahrain stands at approximately $29,654 (World Bank, 2024), placing it among the higher-income economies of the Middle East.

Bahrain’s economy exhibits resilience and potential for growth across multiple sectors, positioning it as a key regional hub for finance, aluminium, and petroleum refining. The non-hydrocarbon sector continues to expand, with financial services as the largest contributor to growth.

What are the economic activities of Bahrain?

• Primary activities: approximately 0.3% of GDP (World Bank, 2023).
• Secondary activities: approximately 43% of GDP (2023).
• Tertiary activities: approximately 57% of GDP (2023).

Primary Sector of Bahrain

Bahrain’s primary sector, particularly agriculture, contributes a modest share to GDP. With limited arable land, the country produces a range of products such as dates, milk, chicken, tomatoes, fruits, eggs, and cucumbers/gherkins. Agriculture accounts for approximately 0.3% of GDP (World Bank, 2023), though these products play a role in domestic food supply and local livelihoods.

Bahrain’s geological diversity contributes to its rich natural resources. The primary sector is underpinned by oil, associated and non-associated natural gas, fish, and pearls, driving the economy through exports and employment opportunities.

Bahrain’s oil production of approximately 183,479 barrels per day (2024) ranks it among the smaller Gulf producers. The country holds oil reserves of approximately 124.6 million barrels, solidifying its position in the regional energy market. Bahrain also produces approximately 17 billion cubic meters of natural gas annually.

Secondary Sector of Bahrain

What is the secondary sector or what are secondary activities?

In Bahrain, the secondary sector is anchored by aluminium smelting, oil refining, petrochemicals, construction materials, and light manufacturing. Aluminium Bahrain (ALBA), the world’s largest single-site aluminium smelter, is the flagship of the industrial sector. BAPCO (Bahrain Petroleum Company) operates the country’s oil refinery, processing both domestic and Saudi crude. Other industries include iron manufacturing, pharmaceuticals, and financial technology infrastructure.

Manufactures in Bahrain’s total exports — led by aluminium, refined petroleum products, and aluminium wire — represent a significant share of export value, reflecting the importance of the secondary sector to the national economy.

Tertiary sector of Bahrain

What is the tertiary sector or what are tertiary activities?

The tertiary sector in Bahrain encompasses various services that enhance productivity and cater to diverse needs, such as healthcare, education, banking, communication, tourism, transportation, and security. These activities provide intangible goods like expertise and advice, contributing significantly to the country’s economy and overall development.

Of particular importance, Bahrain’s economy heavily relies on tourism, which contributes significantly to its GDP. In 2023, Bahrain recorded approximately 12.4 million tourist arrivals through all entry points (King Fahd Causeway, Bahrain International Airport, and seaports), according to the Information and eGovernment Authority of Bahrain. Popular destinations including Al-Fatih Mosque and Bahrain Fort attract visitors, making tourism a driving force in the economic landscape.

Another example of tertiary economic activity is the mobile cellular sector, with over 2 million subscriptions, supporting technological growth. This connectivity fosters innovation, enhancing digital services and economic diversification.

Military Activities and Economic Sectors of Bahrain

The secondary sector involves the manufacturing of military equipment, such as weapons and vehicles. The military also provides services in the tertiary sector, while the quaternary sector focuses on research and development for new technologies. Lastly, high-level decision-making in the quinary sector shapes military strategy.

As of 2024, Bahrain’s military expenditure was approximately $1,384 million, representing 2.9% of GDP (World Bank/SIPRI, 2024). The active military force consists of approximately 8,200 personnel.

Biggest company in Bahrain

Which is the biggest company in Bahrain? The largest is Aluminium Bahrain (ALBA), with revenue of approximately $4.36 billion in FY2024 (ALBA, 2024). ALBA is the world’s largest single-site aluminium smelter, majority-owned by the Government of Bahrain through Mumtalakat Holding Company. It operates in the industrial manufacturing sector, which is part of the secondary economic sector, and has been in commercial operation since 1971. Among financial institutions, the National Bank of Bahrain and Gulf International Bank are prominent domestic names.

International Trade of Bahrain

Import Activities of Bahrain

Bahrain’s import activities play a crucial role in meeting domestic and industrial demand. As a small, resource-dependent economy, Bahrain imports a wide range of goods to supply its manufacturing base and consumer market.

Bahrain’s key import activities include sourcing iron ore, aluminum oxide (alumina), cars, gold, and ships. Total goods imports were approximately $15.6 billion in 2024 (World Bank WITS, 2024). Major import partners are China (15%), UAE (12%), Brazil (9%), Australia (8%), and India (7%).

Exports Activities of Bahrain

In Bahrain, goods exports in 2024 totaled approximately $12.5 billion (World Bank WITS, 2024). Including services, exports of goods and services represent approximately 87–88% of GDP (2023–2024), reflecting Bahrain’s role as a regional trade and financial hub.

Bahrain’s export activities are diverse, with key partners including Saudi Arabia, UAE, US, Japan, and India. The country mainly exports aluminium, refined petroleum, iron ore, aluminium wire, and iron blocks.

Bahrain economy challenges in 2025

Bahrain, a growing Middle Eastern island economy, continues to face challenges including youth unemployment, water scarcity due to reservoir depletion, and fiscal pressures linked to oil price volatility. Efforts to fulfill Economic Vision 2030 continue, centered on the goal of becoming a diversified regional finance and manufacturing hub.

Sources

• World Bank Data: Bahrain
• IMF DataMapper: Bahrain
• World Bank WITS: Bahrain Trade
• CIA World Factbook: Bahrain
• Information and eGovernment Authority of Bahrain
• UN Comtrade Plus: Trade Flow

Last updated: June 20, 2026.