Bahrain recorded the highest increase in labor productivity among all Gulf nations, according to “Growing Beyond Oil” report issued by the US-based Conference Board. The report highlighted the success of Bahrain's efforts to modernize its labor market, citing the increased productivity is the key to future economic growth, Bahrain's Economic Development Board (EDB) said in a statement. It said Bahrain's labor productivity rate was 20 percent higher than that of Oman, its nearest competitor, and more than five times above the Gulf Cooperation Council (GCC) average. The report said while other Gulf countries experienced steady economic growth due largely to an inflow of expatriates, Bahrain's economic growth was based on rapidly increasing labor productivity and therefore was more sustainable. Around 290,000 of the total of over 4.8 million expatriate Indians in the Gulf live in Bahrain. “These excellent results reflect the great strides Bahrain has made towards modernizing and liberalizing our economy, and training and educating our native workforce,” said Shaikh Mohammed Bin Essa Al-Khalifa, chief executive of EDB, in the statement. “Businesses operating in Bahrain are capitalizing on the availability of the most highly-skilled native workforce in the region,” he said, adding that the workforce in the banking sector comprised 73 percent Bahraini nationals, of which women accounted for 27 percent. Al-Khalifa said that through further liberalization and skills investment, Bahrain would become the Gulf's most attractive destination for both business and highly-skilled workers. The report noted that Bahrain's labor force has become one of the most skilled in the Arab world owing to compulsory and free education. As a result, Bahrain's literacy rate at 85 percent is one of the highest in the region. The kingdom has a long-term commitment to develop a modern and highly skilled workforce that is capable of competing with economies across the world. In 1919, Bahrain became the first country in the Gulf to launch a public education system. It was also a pioneer in giving its female population equal access to its educational resources. In 2005, the Royal University for Women joined the country's 15 other universities, and the state continues to provide free and compulsory basic schooling for the children of both citizens and expatriates, the report said. In June this year, the Bahrain Labor Fund announced that under its Human Capital Development initiative, it had invested more than $75 million to provide over 11,000 Bahraini nationals with world-class training over the next four years. The initiative covers nationals entering the labor market as well as existing employees. Bahrain is also one of the top performers among Middle Eastern countries in the United Nations Development Program's (UNDP) annual index on human development. The report also studied the progress of economic diversification in the region. The GCC countries are all focusing on diversifying their respective economies and move away from their sole dependence on oil and gas. GCC comprises Kuwait, Qatar, Saudi Arabia, Bahrain and Oman and the United Arab Emirates. - Agencies Meanwhile, another report said Bahrain refinery output soared by four percent to top a record 271,000 per day (bpd) over the first six months of this year, compared with the same period last year. The National Oil and Gas Authority (Noga) report said the kingdom has a production capacity of 250,000 bpd. The quantity of crude oil imported from Saudi Arabia through the oleo ducts also increased by 6.1 percent, Oil Minister and Noga chairman Dr Abdulhussain Mirza said. Local sales soared by 9.4 percent due to the booming urban development momentum, and the substantial increase in cars traveling via King Fahad Causeway. The positive sales index reflects the growing GCC family tourism. The current urban landmark projects, including highways and bridges, are also behind the rising demand for oil byproducts. Bahrain output of gas and associate products increased by 10.6 percent to top 258.227 billion square feet, up by 24.766bn sq/ft compared with 233.461 billion last year, the report added. Natural gas topped 207.06 billion sq/ft (80 percent) compared with 51.165 billion sq/ft (20 percent) for associate gases. This quantity is consumed in full locally, whether in generating power or industries. A substantial bulk is also injected in Bahrain Oil Field to boost production. “The 10.6 percent increase aims at meeting the soaring demand due to power plans, industrial projects and other infrastructure schemes,” Mirza said. Power plants consume a major bulk of 33 percent, followed by Alba (25 percent), Bapco(17 percent injected in oilfields) and GPIC Company (9 percent). The remaining 16 percent goes to feed industrial companies across Bahrain. Subsidiaries of Bahrain Oil and Gas Holding consortium have also reaped positive results.
