CR (Commercial Registration) Activities in Bahrain are based on the International Standard Industrial Classification of All Economic Activities. These business activities are further classified as per Ownership Rights and Registration Type. Some activities require a local partner whereas other business activities may not. Similarly, some activities can only be registered with a specific registration type. For example, to practice Banking activities in Bahrain we can register a Bahraini Shareholding Company only. These classifications are made considering the best interests of the country’s economy.
Ministry of Industry & Commerce Bahrain has set CR Ownership rules classifying business activities. These rules define which business activity a specific nationality can practice. Following are the CR Activities classifications according to Ownership Rights
Bahrain has the strategic relations with Singapore since 1978. Both countries share many similarities such as geography, market size, and the focused sector. Bahrain has allowed 391 business activities to Singapore nationals without the need for a local partner.
Click here to see the list of CR activities Allowed up to 100% for Singaporeans.
Bahrain allows 100% ownership to Icelander, Liechtensteiner, Norwegian, and Swiss nationals for 405 CR business activities.
No doubt foreign investment has a positive impact on a country’s economy. However, it can also disturb the local investors. Keeping that in view Bahrain has specified 23 major business activities where at least 51% local ownership is required.
Click here to see the list of CR Activities with Foreign ownership equal to or less than 49%
On 25 September 2021 Ministry of Industry & Commerce set new rules for CR Activities. 177 CR Activities are allowed to Foreign investors with a requirement of a local partner, regardless of ownership percentage.
Previously, to practice these 177 CR activities a foreign investor was required to have a 51% Bahraini partner. Now the requirement has been changed. A local partner is required regardless of its ownership percentage. It can be 0.1% or even less.
In Bahrain “CR Activity” or “Commercial Registration activity” refers to economic activity a business undertakes. These activities are based on the International Standard Industrial Classification of All Economic Activities (ISIC4).
There are 379 CR (business) activities that foreigners can operate in Bahrain without a local sponsor. Click here to view the list
Around 90% of the company formation procedure can be done virtually. However, Personal presence is required to open company bank account.
The Kingdom of Bahrain has a discrete policy for American citizens. There are 557 business activities that American citizens can own 100%.
The Kingdom of Bahrain is a paradise for ex-pats and foreign investors. Company formation is the way to register a business in Bahrain.