Get ready for some changes, Bahrain! The government has announced new laws set to take effect in the year 2023. In this blog post, we’ll break down what you need to know about these upcoming changes and how they may impact your daily life. So, let’s dive in and stay informed!
1. Restrictive Conditions Surrounding Bahrain’s 2022 Elections
One of the major events that shaped Bahrain’s legal system in 2022 was the parliamentary and municipal elections held in November. However, the election took place amid serious restrictions on political and civil rights, free speech, and assembly. This event created a contentious political climate in the country, which impacted the labor laws, visa regulations, and real estate sector laws that came into effect in 2023. The restrictive conditions surrounding Bahrain’s 2022 elections reflect a larger trend of political repression in the country. As the government continues to suppress dissent and restrict access to information, it is crucial for international organizations and individuals to pay attention to developments in Bahrain and advocate for the protection of human rights.
2. Employment and Labor Laws in Bahrain Covering Terms and Conditions, Discrimination, and Sales
In 2023, Bahrain introduced new employment and labor laws that are aligned with several Arab and international labor treaties and conventions to which the country is a signatory. These laws cover issues concerning terms and conditions of employment, discrimination, and business sales. The non-discrimination clause preventing discrimination based on gender, ethnicity, native language, or religion is one of the most prominent features of the new law. The employment law provides for two types of employment contracts, definite and indefinite. Employers can terminate an employee’s contract of employment with or without justification, and compensation and notice period are also taken into account. Additionally, workers are entitled to annual leave entitlement, which is enshrined in Article 58 of the Labor Law. These new laws seek to transform challenges into opportunities and promote fair and equal treatment for all workers in Bahrain.
3. New Visa Rules in Bahrain for 2023 Require a Minimum 90-Day Stay
For travelers planning to visit Bahrain in 2023, it’s important to note the new visa rules requiring a minimum stay of 90 days. While the visit visa can still be obtained electronically from the official website, extensions can also be done either online or at NPRA. The total fee for a single-entry, on-arrival visit visa is BD34 (USD 90), including the application. Visitors from over 95 countries are eligible for visa-free entry into Bahrain upon presentation of a passport with a minimum validity of three months. The new visa rules are just one of several changes happening in Bahrain for 2023, including amendments to labor and real estate laws and increased workers’ share under social insurance law. Despite these changes, many are optimistic about the future of Bahrain’s economy, with the Investopedia conference placing a spotlight on the “new economy” emerging in the region.
4. Amendments to Bahrain’s Real Estate Sector Regulation Law
As part of their efforts to bolster Bahrain’s real estate sector, the government has approved amendments to the Real Estate Sector Regulation Law, which was originally passed in 2017. These changes aim to modernize and streamline regulations governing the sector, while also addressing issues related to property ownership, development, and sales. Of particular note are the new provisions aimed at facilitating the registration of foreign ownership of real estate and streamlining the process of resolving disputes among parties in the sector. These changes are expected to have a positive impact on both local and foreign investment in Bahrain’s real estate market, which has been steadily growing in recent years thanks to the country’s attractive economic policies and incentives. With these changes, the government hopes to position Bahrain as a leading player in the regional real estate market and boost the country’s overall economic growth.
5. Increased Worker’s Share in Bahrain Under Social Insurance Law in 2023
As part of the 2022 Law, Bahrain is set to increase the worker’s share of social insurance contributions by 1% as of January 2023. This brings the overall percentage of the worker’s share to 7%. Additionally, the employee’s total contribution will also be increased by 1% to bring the total percentage of the worker’s contribution to 8%. These changes are part of the government’s efforts to improve workers’ rights and benefits. The Bahraini Labour Law protects all types of employees, including part-time, full-time, local, and expatriate employees. Along with advancements in labor laws, changes to visa rules and real estate regulations are also expected in 2023. The rise in real estate market transactions and government calls for the careful consideration of new draft laws further highlight the importance of staying informed about the evolving legal landscape in Bahrain.
6. Rise in Real Estate Market Transactions Expected in Bahrain for 2023
Looking ahead to 2023, it seems that the Bahrain real estate market will continue to show growth, as evidenced by the expected rise in real estate market transactions. The government has implemented legal, economic, and visa reforms that have encouraged investments, resulting in an increase in transaction values of 3.9% by the end of 2022. Additionally, there has been a year-on-year increase in the total supply of freehold apartments, indicating a promising future for investors. Despite global challenges, Bahrain’s real estate transaction volumes and economic growth projections continue to improve, according to CBRE. With these positive developments, it seems that the Bahrain real estate market will remain a viable option for investors and buyers alike in the coming year.
7. Bahrain Government Passes 2022 Law with Annual Worker’s Share Increase
As previously mentioned, the Bahraini government passed the 2022 Law, which outlines an increase in the annual worker’s share starting from January 2023 to 2028. This is just one of the many labor and employment laws that have been put in place to protect workers and ensure fair treatment in the workplace. Additionally, changes to visa rules and amendments to real estate sector regulation laws have also been made, indicating a commitment to improving various aspects of society in Bahrain. While some may have concerns over the potential negative impacts of these laws, the overall aim is to make Bahrain a better place to live and work for everyone.
8. Bahrain Chamber Calls for Careful Consideration of New Draft Law
The Bahrain Chamber is calling for careful consideration of the new draft law amidst the slew of laws set to take effect in 2023. In Section 4, amendments to Bahrain’s Real Estate Sector Regulation Law are detailed, and Section 10 outlines the new labor law. As Bahrain prepares for the changes ahead, it is important that businesses and individuals alike take a critical look at the laws and how they will affect them. The Chamber’s call for consideration shows that they understand the importance of ensuring the new laws are well thought out and won’t have adverse effects on the economy or those living and working in Bahrain. As the country initiates changes, it’s important for all parties to work together to ensure a smooth transition.
9. ‘New Economy’ Takes Center Stage at 2023 Investopia Conference in Bahrain
The Investopedia Conference in Bahrain, held in 2023, showcased the significance of the ‘New Economy’ as a driving force to spur growth and development in Bahrain. The conference brought together experts, government officials, and business leaders to discourse strategies for addressing current and anticipated economic challenges. These strategies cut across diverse sectors, including employment and labor laws, visa rules, and real estate market transactions. The New Economy model was at the forefront of the discussions, emphasizing the need for economic diversity and innovative practices that cater to the evolving needs of the 21st-century global economy. Bahrain is continuing to pave the way toward a more sustainable and prosperous future, focusing on policies that will ultimately benefit its citizens and businesses alike.
10. New Labor Law in Bahrain Replaces Old Law from 1976 and Seeks to Transform Challenges into Opportunities.
The Bahraini government has recently passed a new labor law that aims to replace the old labor law from 1976. The new law seeks to transform challenges into opportunities by providing more protection and rights for employees regardless of their employment status. This is a significant shift from the previous law that had limited protections for workers. The new labor law also aims to increase job security and enhance working conditions for both local and expatriate employees. With this new law in place, Bahrain is taking a step towards enhancing its labor market and improving the overall employment experience for its citizens and residents.
Contact us on Facebook, Instagram, Twitter, and Linkedin
