General Overview. The government of Bahrain aims to create a favourable business environment for private persons and corporate entities from different countries of the world. Bahrain is known for its well-developed offshore fund management services and offshore banking facilities. Bahrain has signed a Free Trade Agreement with the US, so it has advantageous conditions for trading with this country.

Banking Sector. Different types of banking licenses may be obtained in Bahrain, depending on the goals and objectives of a banking institution. The Central Bank is in charge of regulating the banking sector of this offshore jurisdiction, which is the second major economic segment after oil and gas industry.

Investment Funds.  Bahrain is considered to be one of the most developed and well-regulated financial centers of the Middle East. The local authorities have outlined and follow efficient procedures for issuing licenses for financial institutions.  Bahrain attracts international interests for managing offshore investment funds from the jurisdiction.

Islamic Finance. The international popularity of Sukuk (equivalent of bonds which follow Islamic finance principles, including the prohibition of withholding or paying interests) worldwide brought a wide interest to the Islamic finance, and Bahrain was and is one of the main jurisdictions where financial institutions including banks, insurance companies and mutual finds operate, according to the Islamic finance laws and regulations.