CR Activities Where a Foreign Investor Must Include a Bahraini Shareholder
Not every business activity in Bahrain is open to 100% foreign ownership. A subset of commercial activities – mostly in retail trade, certain import categories, and specific service sectors – require a Bahraini national to hold a minimum shareholding in the company.
This is not the same as a traditional sponsorship arrangement. In Bahrain, the Bahraini shareholder is a genuine co-owner with legal rights in the company, not just a name on paper for compliance purposes. The ownership split and the Bahraini partner’s role should be properly documented in the Memorandum of Association and any separate shareholders’ agreement.
The table below lists every MOIC-registered activity where foreign investor ownership is capped – typically at 49% for the foreign party, requiring a Bahraini national to hold the remaining majority. Some activities have different percentage thresholds; the table reflects the current MOIC status for each.
If your target activity appears on this list, it does not mean you cannot operate in Bahrain – it means you need a Bahraini national as a genuine business partner. We work with clients regularly to structure these arrangements, ensure the documentation is correct, and protect both parties’ interests from the outset. Poorly structured Bahraini-partner arrangements are one of the more common sources of business disputes we see.
To discuss your situation before committing to a partner or activity, speak to our team or call +973 1311 8811.
| Business Activity Name | ISIC4 Code | Activity Status |
|---|---|---|
| Animal production | 14 | Not Restricted |
| Support activities for crop production | 161 | Not Restricted |
| Support activities for animal production | 162 | Not Restricted |
| Quarrying of stone, sand and clay | 81 | Not Restricted |
| Quarrying of stone, sand and clay – Extraction of Marine Sand | 81 | Not Restricted |
| Other Mining and quarrying | 89 | Not Restricted |
| Support activities for petroleum and natural gas extraction | 910 | Restricted |
| Apparel Tailoring Activities | 14104 | Not Restricted |
| Carpentry Workshop | 16225 | Not Restricted |
| Printing | 1811 | Not Restricted |
| Service activities related to printing | 1812 | Not Restricted |
| Reproduction of recorded media | 182 | Not Restricted |
| Cutting of glass and mirrors | 231052 | Not Restricted |
| Welding, Blacksmith, and Fabrication Workshop | 259190 | Not Restricted |
| Furniture upholstery and curtain making | 31004 | Not Restricted |
| Repair and routine maintenance pleasure boats | 331502 | Not Restricted |
| Electric power generation, transmission and distribution | 351 | Not Restricted |
| Manufacture of gas; distribution of gaseous fuels through mains | 352 | Not Restricted |
| Steam and air conditioning supply | 353 | Not Restricted |
| Water collection, treatment and supply | 36 | Not Restricted |
| Water collection, treatment and supply – Drilling of Artesian Water Wells | 36 | Not Restricted |
| Sewerage | 37 | Not Restricted |
| Waste collection, treatment and disposal activities | 381 | Not Restricted |
| Ship Recycling Services | 383003 | Not Restricted |
| Remediation activities and other waste management services | 39 | Not Restricted |
| Sale/Trade of motor vehicles | 451 | Not Restricted |
| Maintenance and repair of motor vehicles | 452 | Not Restricted |
| Car Washing and Polishing | 45205 | Not Restricted |
| Sale/Trade of motor vehicle parts and accessories | 453 | Not Restricted |
| Sale/Trade of motorcycles, including mopeds | 45401 | Not Restricted |
| Sale/Trade of parts and accessories for motorcycles | 45402 | Not Restricted |
| Maintenance and repair of motorcycles | 45403 | Not Restricted |
| Trading on a fee or exchange or on contract basis or auctions | 461 | Not Restricted |
| Sale/Trade of agricultural raw materials | 46201 | Not Restricted |
| Sale/Trade of animals | 46205 | Not Restricted |
| Sale/Trade of animals – Fish/Marine species | 46205 | Not Restricted |
| Sale/Trade of leather (untanned amimal skin) | 46206 | Not Restricted |
| Sale/Trade of pharmaceutical and medical goods – Sale of Alternative medicine products | 4772 | Not Restricted |
| Sale/ Veterinary Medicines | 4649511 | Not Restricted |
| Sale and installation of telecommunications equipment and parts | 4652 | Not Restricted |
| Sale/Trade of agricultural machinery, equipment and supplies | 4653 | Not Restricted |
| Sale/Trade in other machinery and equipment and parts | 4659 | Not Restricted |
| Sale/Trade in other machinery and equipment and parts – Medical Devices, Supplies and Related Spare Parts | 4659 | Not Restricted |
| Sale/Trade of Transportation spare parts and equipment except for Motor Vehicles, Motor cycles. | 46593 | Not Restricted |
| Sale/Trade of Transportation spare parts and equipment except for Motor Vehicles, Motor cycles. – Import, export and sale of aircraft spare parts | 46593 | Not Restricted |
| Sale/Trade of solid, liquid and gaseous fuels and related products – Collecting used oil and waste lubricating oils | 4661 | Not Restricted |
| Sale/Trade of solid, liquid and gaseous fuels and related products – Specialty petroleum products import | 4661 | Not Restricted |
| Sale/Trade of solid, liquid and gaseous fuels and related products – Recycled used oils export | 4661 | Not Restricted |
| Sale/Trade of solid, liquid and gaseous fuels and related products – Mixed Petroleum products export (feedstock) | 4661 | Not Restricted |
| Sale/Trade of solid, liquid and gaseous fuels and related products – Petroleum products additives (treated) export | 4661 | Not Restricted |
| Sale/Trade of solid, liquid and gaseous fuels and related products – Lubricants and greases export | 4661 | Not Restricted |
| Sale/Trade of solid, liquid and gaseous fuels and related products – Direct export of petroleum products | 4661 | Not Restricted |
| Sale/Trade of solid, liquid and gaseous fuels and related products – Aircraft Refueling Services | 4661 | Not Restricted |
| Sale/Trade in metals and metal ores | 4662 | Not Restricted |
| Sale/Trade of construction materials, hardware, plumbing and heating equipment and supplies | 4663 | Not Restricted |
| Sale/Trading in industrial chemicals | 46691 | Not Restricted |
| Sale/Trading in industrial chemicals – Substances subject to the convention on the prohibition of Chemical Weapons | 46691 | Not Restricted |
| Sale/Trading in industrial chemicals – Sales/Trading in Refrigerants | 46691 | Not Restricted |
| Sale/Trading in fertilizers,Soil Conditioners and Pesticides | 46692 | Not Restricted |
| Sale/Trading in cleaning materials | 46693 | Not Restricted |
| Sale/Trading in plastic material and rubber products | 46694 | Not Restricted |
| Sale/Trading in paper and cardboard products | 46695 | Not Restricted |
| Sale/Trading in waste and scrap | 46699 | Not Restricted |
| Sale/Trading in other industrial products/ raw material | 466999 | Not Restricted |
| General Trade | 469 | Not Restricted |
| General Trade – including sale/trade of Food and Beverages | 469 | Not Restricted |
| General Trade – including sale/trade of tobacco products | 469 | Not Restricted |
| General Trade – including sale/trade of Food, Beverages, and tobacco products | 469 | Not Restricted |
| Sale/Trade of Food and Beverages | 4721 | Not Restricted |
| Sale/Trade of Food and Beverages – Fish/Marine species | 4721 | Not Restricted |
| Sale/Trade of Food and Beverages – Health Food | 4721 | Not Restricted |
| Sale of tobacco products | 4723 | Not Restricted |
| Sale of fuel in specialized stores – Land Service Station | 473 | Not Restricted |
| Sale of fuel in specialized stores – Marine Service Station | 473 | Not Restricted |
| Sale/Trade of information, and communications equipment and related software | 474 | Not Restricted |
| Sale/Trade of textiles | 4751 | Not Restricted |
| Sale/Trade of carpets, rugs, wall and floor coverings | 4753 | Not Restricted |
| Sale/Trade of Furniture and all household articles | 47591 | Not Restricted |
| Sale/Trade of Electrical and electronic Household appliances | 47592 | Not Restricted |
| Sale/Trade of household utencils, cutlery, glassware, and related items | 47593 | Not Restricted |
| Sale/Trade of lighting equipment and articles of lighting | 47594 | Not Restricted |
| Sale/Trade of Musical Instruments | 47595 | Not Restricted |
| Sale/Trade of Safety Systems | 47596 | Not Restricted |
| Sale/Trade of books, magazines, newspapers | 47611 | Not Restricted |
| Sale/Trade of Stationary, arts and crafts, and office/professional tools and apparatus | 47612 | Not Restricted |
| Sale/Tradeof music and video recordings, and cinematographic films | 4762 | Not Restricted |
| Sale/Trade of Video Games | 47412 | Not Restricted |
| Sale/Trade of sporting equipment | 4763 | Not Restricted |
| Sale/Trade of games and toys | 4764 | Not Restricted |
| Sale/Trade of clothing, footwear, apparel accessories, and leather articles | 4771 | Not Restricted |
| Sale/Tradeof perfumery, cosmetic and toiletries | 47723 | Not Restricted |
| Sale/Trade of photographic, optical and precision equipment | 47731 | Not Restricted |
| Sale/Trade of optical goods; Activities of Opticians | 47732 | Restricted |
| Sale/Trade of jewellery and related articles | 47733 | Not Restricted |
| Sale/Trade Pet/ Animal food and accessories | 477341 | Not Restricted |
| Sale/Trade of flowers, plants,and seeds | 47735 | Not Restricted |
| Sale/Trade of flowers, plants,and seeds – Fertilizer | 47735 | Restricted |
| Sale/Trade of souvenirs, craft work, religious articles, stamps and coins; Activities of commercial art galleries | 47736 | Not Restricted |
| Sale of household fuel oil, coal and fuel wood – (excluding gas cylinders) | 47737 | Not Restricted |
| Sale of household fuel oil, coal and fuel wood – LPG Cylinder Bottling | 47737 | Not Restricted |
| Sale of household fuel oil, coal and fuel wood – LPG Micro bottling | 47737 | Restricted |
| Sale of household fuel oil, coal and fuel wood – LPG Cylinder Distribution | 47737 | Not Restricted |
| Sale of household fuel oil, coal and fuel wood – Refilling of Refrigerant Cylinders | 47737 | Not Restricted |
| Sale of second-hand goods | 4774 | Not Restricted |
| Retail sale via Internet | 4791 | Not Restricted |
| Passenger rail transport, interurban | 4911 | Not Restricted |
| Freight rail transport | 4912 | Not Restricted |
| Passenger land transport – Transport of passengers (Domestic) | 49211 | Not Restricted |
| Passenger land transport – Transport of passengers (International) | 49211 | Not Restricted |
| Passenger land transport – Public Transportation | 49211 | Not Restricted |
| Taxi – Taxi | 49221 | Not Restricted |
| Taxi – Call Taxi | 49221 | Not Restricted |
| Freight transport by road – Internal Transport of goods | 4923 |