Gudaibiya: His Royal Highness Prince Salman bin Hamad Al Khalifa, the Crown Prince and Prime Minister, chaired the weekly Cabinet Meeting at Gudaibiya Palace. The session highlighted several significant developments and strategic initiatives aimed at enhancing Bahrain's financial and economic landscape.
According to Bahrain News Agency, the Cabinet commended the outcomes of the national virtual exercise "Azm Al Watan 1", a significant event witnessed by His Majesty King Hamad bin Isa Al Khalifa, the Supreme Commander of the Armed Forces. Reflecting on a recent visit to the Muharraq Nights Festival, HRH expressed appreciation for the hospitality extended by the residents of Muharraq, acknowledging their warm reception to local and international visitors.
The Cabinet recognised the efforts behind the Celebrate Bahrain season, which includes events like Hawa Al Manama and the Heritage Village, praising the high standard of organisation. As the New Year approaches, the Cabinet extended best wishes to the Kingdom and its people for continued progress and prosperity, and wished students success in their first semester examinations for the 2025-2026 academic year.
In collaboration with the Legislative Branch, the Cabinet resolved to maintain current electricity and water tariffs for the primary residences of citizens, postponing any changes on subsidies until further study. Several initiatives to adjust the Kingdom's financial position were approved, including a 20% reduction in administrative expenses across government entities, increasing contributions of government-owned companies to the national budget, and introducing a tax on local companies' profits exceeding a set threshold, aiming for implementation by 2027.
Additional measures include increasing the levy on soft drinks, enhancing utilisation of undeveloped investment lands, and introducing fees for sewage services. The Cabinet also proposed adjustments to worker permit and healthcare fees, and the gradual adjustment of natural gas prices for companies. A mechanism for determining fuel prices was also discussed, alongside efforts to streamline government procedures to attract foreign investment and bolster the private sector.
These initiatives reflect the Cabinet's commitment to economic diversification and financial stability while ensuring the well-being of Bahraini citizens and fostering a conducive environment for investment.