Bahrain non-oil GDP grows 2.2% in Q1 2026

Bahrain’s non-oil GDP at constant prices grew by 2.2% in the first quarter of 2026, according to the quarterly economic report released by the Ministry of Finance and National Economy. While the economy saw strong performance in January and February, it was impacted in March due to Iranian aggression and maritime restrictions in the Strait of Hormuz.

Overall GDP at constant prices contracted by 3.8% year-on-year, primarily driven by a 37.2% decline in oil activities. Despite this downturn in the oil sector, non-oil activities accounted for 90.1% of the GDP at constant prices. Nine out of thirteen non-oil economic activities recorded positive growth.

Financial and insurance activities remained the largest non-oil contributor, representing 19.7% of the GDP with an 8.6% annual growth rate. Other significant growing sectors included manufacturing (14.6%), public administration (9.0%), and construction (7.0%).