Middle East > Bahrain > Bahrain Tourism Profile

Bahrain: Bahrain Tourism Profile

2015/02/28

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Bahrain in Arab Spring Recovery

Bahrain was a victim of the Arab Spring in 2011 at the same time as the government responded to a series of demonstrations with a violent crackdown, bringing tourism to a halt during a few months, and leading to the cancellation of the country’s major tourism event: the Formula 1. But positive increase swiftly resumed in 2012, as tourism from all destinations recovered as the event took place once again in 2012, and the large number of Saudi tourists visiting the country as well experienced positive increase this year. Manama was as well named 2013 Capital of Arab Tourism in 2013 and this is likely to bring additional increase as the city expects to host a number of events and activities under this umbrella.

Leveraging Cultural Heritage

Part all GCC nations, Bahrain has some significant cultural tourism landmarks and a rich history of traditions. Manama was named the Capital of Arab Culture in 2012, as part of UNESCO’s programme to promote culture capitals across the world. There are as well a number of cultural festivals taking place each year such as the Cultural Spring Festival and the Bahrain Summer Festival. With a blend of music, theatre, poetry, art exhibitions and dance performances, these attract tourists from the GCC mainly. These events and the cultural aspect of Bahrain is being promoted in a bid to boost leisure tourism which remains far less developed than business tourism.

Bahrain Air Goes Bankrupt

A major developing story in air transportation in 2012 is the bankruptcy of Bahrain Air, a small low cost carrier which had ambitions to cater to the budget travel market to and from Bahrain. With just four airplanes, the company had been trying to expand and reach out to new destinations. But the low cost model did not receive much request in this market, and as a result the airline tried to shift its strategy towards a “hybrid” model considered to be positioned somewhere between a pure schedule operation and a low-cost model. However this strategic approach failed to succeed mainly in light of the unrest affecting Bahrain and some of the airline’s destinations. Meanwhile Gulf Air as well suffered, and the company is optimising its fleet size, and route network, as it cancelled a lot of unprofitable routes.

Saudi Arabia Still a Major Source Market

Bahrain’s major source market remains Saudi Arabia, and although this is a great chance in light of this market’s proximity, relieve of access and cultural affinities, there is as well a need for the Kingdom to diversify its source markets away from the KSA. Saudis can drive into Bahrain from Khobar and Dammam travelling just a short distance and find a haven of leisure and entertainment which is absent back in their home country. Saudi Arabia is as well an significant outbound destination for Bahrainis notably for the Hajj and Umrah pilgrimage to Mecca.

Hotel Developments Resume

Like a lot of regional destinations, Bahrain is still being targeted for hotel developments. A lot of major world hotel brands are expected approaching to the market during the estimate period and that includes the Rotana Bahrain Hotel expected in 2013, Staybridge Suites in 2014, Al Seef Centro, Bahrain Bay Arjaan, and Ibis Manama Seef; inclunding a Four Seasons Hotel set for completion in 2015 and a JW Marriott Manama in 2016. So while a majority of hotels in the pipeline are luxury hotels, there are as well budget hotels expected for this market, and these will be ideal for lower budget travellers who want to attend the Formula 1.

Tourist arrivals increase in 2010 as the world economy recovers

 
Next declining in 2009, tourist arrivals increased in 2010, as the world economy was recovering from the recession of 2008-2009. There was a distinct increase in travellers from healthier economies, such as India and Saudi Arabia. Although the number of tourists from the UK and the US increased, increase was subdued due to the slower economic recovery of these nations.


Arrivals from Saudi Arabia continue to dominate tourist arrivals

 
For Saudi Arabians, Bahrain is a weekend getaway, as the King Fahd highway has made Bahrain additional accessible. Saudi Arabian residents can take road trips over the weekend to the relatively liberal Bahrain. They can enjoy casinos and nightlife, which is not possible in Saudi Arabia.

Qatar-Bahrain causeway project revitalised next delays

Work on a causeway between Qatar and Bahrain was supposed to start in 2009-2010. However, it was postponed due to territorial disputes between Bahrain and Qatar. The economic recession did not help matters either. However, the project seems to be back on track. Work is expected to begin in 2011-2012, and will be completed by 2015. The causeway will have both road and rail tracks.


Airport expansion project revised

 
In 2006, the Bahrain government announced an ambitious project to expand and modernise Bahrain airport. However, the proposed expansion of building new terminals in 2009 had to be cancelled due to the recession. Not only was funding a challenge, but the drop in tourist arrivals as well impacted capacity expansion plans. Instead of constructing new terminals, the existing terminal will be expanded to cater for higher passenger traffic.