Manama: Trade between India and Bahrain could be set for a significant post-pandemic rebound over the next 12 months as the two countries continue to implement their financial recovery plans, according to one of the Kingdom’s leading economists.
Dr Ali Al Moulani, President of the Bahrain Economists Society, has forecast that bilateral trade between India and Bahrain could spike by as much as USD 200 million as economies reopen following months of logistical challenges and supply chain pressures.
Bilateral trade between India and Bahrain dipped during the pandemic in 2020, where its value fell to USD 873 million.
But new data from Bahrain’s eGovernment and Information Authority shows that bilateral trade between Bahrain and India in the first half of this year topped USD 492 million – a 37% increase on the same period in 2020.
Dr Al Moulani said, “The trade balance between Bahrain and India could top USD 1 billion in 2021, which would take it up to levels not seen since 2018. Exports from India to Bahrain dipped during the pandemic but Indian businesses are now thinking about their recoveries. As businesses ramp up, we expect India-Bahrain trade to rebound to pre-pandemic levels relatively quickly. That could mean as much as a USD 100- USD 200 m surge over next year.”