The discovery of oil in Bahrain in 1932 was a key factor in pushing Bahrain towards rapid economic development. While this development was initially based on oil revenues, in the 1960s, the Government embarked on an economic diversification strategy that has resulted in lower dependence on oil and natural gas. Bahrain was well positioned to implement this ambitious plan, thanks to prudent deployment of oil revenues into the development of the oldest and best education, healthcare and telecommunications systems in the region, which proved essential in supporting key non-oil industries. The strong business ethic and progressive investment environment that resulted in the years following the development of the oil industry were key factors in ensuring the success of this diversification strategy.

As larger oil reserves were discovered in the neighboring Gulf countries, Bahrain pioneered the move towards establishing non-oil industries that could bring sustainable, long-term growth. To this end, Bahrain has continued to build and enhance facilitating services including physical infrastructure, telecommunications network and the legal system, in an effort to attract top-quality companies and investors to participate in a variety of non-oil service-based industries.

In addition to having a dynamic economy, Bahrain is also a pioneer in political evolution in the region. Major political changes are underway under the leadership of His Majesty The King of Bahrain Shaikh Hamad bin Isa Al-Khalifa. It is thus an opportune time in Bahrain's development path for investors wishing to position themselves early and gain a foothold in the different industries which are available.

Investors who choose Bahrain as their base can benefit from Bahrain's proximity to the other GCC countries, which opens the door to a large regional market. Furthermore, the availability of high net-worth individuals in the area means that investors have access to a relatively large financial pool, and a sophisticated customer base.