Bahrain economy ‘lost $2bn due to unrest’

Wednesday, 10 August 2011 00:07 - - {{hitsCtrl.values.hits}}

Manama (Reuters): Bahrain’s economy has lost up to $2 billion due to political unrest that hit the kingdom in February, the head of the country’s chamber of commerce was quoted as saying.

“The damages are between $1.5 and $2 billion, and I don’t think this amount is exaggerated, but things are getting back to normal,” Esam Fakhro, chairman of the Bahrain chamber of commerce, was quoted as saying by the pan-Arab Asharq Al-Awsat newspaper.

Bahrain’s government actions have contributed to a return in confidence and re-assured investors, Fakhro said.

On Sunday, Bahrain said it had released a group of detainees, including two former members of parliament, charged over the anti-government protests.

Standard & Poor’s last month removed Bahrain ratings from credit watch negative, citing an easing of political tensions and expectations that increased public spending would lift economic growth next year.

Analysts polled by Reuters in June expect the country’s economy to expand by 2.7 percent this year.