Bahrain Tourism Sector and Commercial Retail Sector

The three sectors hardest hit by the unrest of the past year have been real estate, tourism, and the commercial retail sectors. 

Tourism

Hotel bookings were down 29.3% in the first quarter 2011, and 30.3% in the second quarter. Part of this decline is attributable to the cancellation of the 2011 Formula One Grand Prix, as well as other sports events, due to the unrest. It is hoped that the rescheduling of Formula One for April 2012 will help restore tourist bookings.

Commercial Retail

Retail commercial sales in urban areas affected by the unrest were significantly down in many places, especially from mid-February to June 2011. Abdul Karim Ahmed Bucheery, CEO of BBK, Chairman of BAB, and on the Board of Tamkeen, observes that one of the major results of the unrest that began in February was that the retail commercial sector “almost came to a halt in terms of business with regards to all the sectors especially the retail, which almost had a total stoppage during the months of February and March that led to severe cash flow problems for them.”

However, sales in Manama’s main shopping center were reportedly up 8.5% in June 2011 over one year ago.