BizBahrain Aug - Sep, 2015

Lifting the 

subsidy 

How it will be better for us all! 

“A 5-PAGE 

SPECIAL REPORT” 

Aug-Sept 2015 

1

2 Aug-Sept 2015 

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CONTENTS 

August-September 2015 

06 | Special Report 

Bahrain weighs all options before lifting subsidies 

The Government pays close to BD300 million in subsidies on power a year. 

The production cost for the one unit of electricity is about 25 fils and being 

supplied to end consumers at three fils per unit. 

10 | Exclusive Feature Interview 

Lifting subsidies sans minimum wages to hurt 

businesses 

Dr. Omar O. Al Mardi 

Advocate & Legal Consultant 

FEATURES 

12 | Biz Finance 

Jean-Christophe Durand 

Outgoing CEO, BNP Paribas Bahrain 

16 | Al Haddad Mercedes-Benz 

Graeme Newport 

General Manager, Al Haddad Mercedes-Benz 

18 | Bilateral Commerce 

Malaysian Embassy marks 48th ASEAN Day in Manama 

20 | CBRE Real Estate Analysis 

A bright new dawn for Bahrain real estate? 

22 | Biz Real Estate Insights 

Selecting the right office space 

bizbahrain is also digital Follow us for instant updates at: Call / Subscribe: 

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bizbahrain 

+973 17 233 833 

info@bizbahrain.com

SECTORS 

28 | Banking & Finance: 

2 Citi is Bank of the Year at Euromoney Awards 2015 

2 Eskan bank mandates SICO to list first REIT on the Bahrain Bourse 

2 CBB and BIBF to launch Mentorship program 

2 CrediMax launches MasterCard 'Cool Your Summer' campaign 

2 CIBAFI and the World bank signs deal to foster cooperation on 

Islamic finance 

32 | Telecom: 

2 Batelco signs agreement with VKL Holdings for fiber network at 

Juffair Mall & Hotel 

2 Batelco deploys Point-of-Presence in datamena 

2 Batelco launches online portal for enterprise customers 

2 Zain Bahrain's FUN program welcomes summer trainees and new 

batch of FUN members 

2 VIVA introduces special roaming package for Umrah 

2 Kalaam Telecom partners with Fakhro Restaurants 

36 | Real Estate: 

2 Diyar Al Muharraq signs deal to develop private school 

2 Naseej sells 85% of "Yasmeenat Saar" homes 

2 Bahrain Cinema Company invests $6.5 million in a new 6 screen 

cineplex in Wadi Al Sail mall 

2 Explore, Build & Win at City Centre Bahrain, this summer! 

40 | Technology: 

2 Control4 wins 4 Global Awards 

2 Middle East insurers tape cloud analytics for fast, affordable fraud 

prevention 

2 Mindware bolsters its ERP on a cloud and marketplace based 

application with 3i-Infotech's Orion 11j 

2 Absolute communications ramps up expansion strategy with 3A 

worldwide 

44 | Government: 

2 Bahrain's non-oil economy reaches 5% growth 

2 New smart ticketing launched for Bahrain's public transport 

2 BD 10 million added to joint Tamkeen-Ithmaar bank finance scheme 

portfolio 

2 BCCI to host startup bootcamp 

2 38% progress in the pumping and lifting stations urgent works 

48 | Others: 

2 BAC and nogaholding appoint main consultant on new fuel farm 

complex at BIA 

2 Alba strengthens business ties with Asian customers 

2 Al Safar Group appoints Ahmed Khalfan as CEO 

2 Brand new bodyshop facility to serve Euro Motors 

2 A Middle East ART house offering a collection to the world 

2 Hyundai reaffirms its position as one of the world's leading 

automotive manufacturers 

2 Volvo XC90 named auto express car of the year 2015 

2 The future of mobility is ready to hit the road 

2 Nissan Patrol 'SUV of the year' 

MORE IN THIS ISSUE 

24 | Biz Events 

26 | Marketing at its Best 

54 | Biz Dashboard 

56 | Tweets on Biz 

58 | The Biz Scene 

60 | Letters & Comments 


5

Editor's 

Note 

Chairman & Publisher 

Ahmed Khalifa Khalfan 

ahmed@bizbahrain.com 

Write the Editor: ahmed@bizbahrain.com 

The Battle to Understand Subsidies 

Many of us have recently been exposed to the news about the lifting of meat and 

electricity subsidies. Few of us actually know the real meaning behind this move 

as we mostly view matters from our own eyes. If we look at the big picture, we may 

see things differently. From a monetary perspective, a subsidy cannot be provided 

without having the money taken out from somewhere. This means that there could be 

other use for such a budget in an economy. This is where people usually miss the big 

picture. 

This issue tackles such a topic with various points of view. As a report from the 

International Institute for Sustainable Development highlights "People who defend 

subsidies for particular sectors often highlight the goods or services that have been 

produced, or the new jobs created. What they do not normally acknowledge is that the 

benefits to society of that money, if it had been spent otherwise, or left in the pockets 

of taxpayers, might have been even greater." 

This same report points out how the value of such goods or services can be better 

defined if we considered the opportunity cost of spending what our report has found 

to be BD 300 million a year on power alone. Imagine this BD 300 million is used for 

something else, such as further developing the education sector, or building a state-ofthe-art 

hospital with the latest equipment available. Now, we are starting to consider 

the opportunity cost of having such a subsidy. Of course, the concept of opportunity 

cost is reasonably intuitive. Consider the government spending such an amount only 

once to build a hydro-electric plant that reduces the country's general consumption of 

power in the long run. Do you see how the picture starts to change? The more you start 

thinking of the opportunity cost, the more you realize that subsidies are a pattern 

than must evolve just like anything else in this world. If we don't revise what we are 

doing, we will fall in a trap of having habit take over. And in most cases, habits are 

actually a bad thing to have. 

This is the reason why we actually chose to be more in favor of such a move than 

against it. This is why this issue's cover says "How it (the lifting of subsidies) will be 

better for us all!" 

Production Manager 

Sameer Butt 

sameer@bizbahrain.com 

Senior Editor 

Mahmood Rafique 

raf.business@gmail.com 

Creative Director 

Ibrahim Abdo (Madlabs) 

Art Designer 

Ashjad Azeez 

Digital Agency 

4Spots 

ranjan@4spots.com 

Contributors 

Ahmed Al Akber - ACK Solutions 

Roberto Carrillo, Mohammed Baqer, SN Kala 

Ammar Al Raees, John Taylor, Bassam Kamashki 

Gordon Anderson, Anna Romanska, Steve Mayes 

Heather Longden, Anceeta Martis, Nigel Rodrigues 

Publishing House 

Production & Layout Designed by 

Cover Design & Concept by 

Printed at 

Oriental Press, Kingdom of Bahrain 

In Association With 

Warm regards, 

Farouk Almoayyed 

Honorary Chairman 

Ahmed Khalifa Khalfan 

Chairman and Publisher 

Ahmed Sabah Al-Saloom 

Chairman of the Society 

6 Aug-Sept 2015 

+973 17233833 

info@bizbahrain.com 

bizbahrain 

www.bizbahrain.com


7

Special Report 

Bahrain weighs all options before 

lifting subsidies 

With lifting the subsidy of meat 

tentatively by the beginning of 

September, the business community, 

experts and legislators are discussing to 

iron out some last minute differences on 

this very sensitive subject. 

The government and parliament’s 

joint committee is reviewing all 

aspects and working hard on ensuring 

the minimum impact of the move on 

citizens and the residents. 

The Government from very 

beginning has been maintaining a 

consistent position on the subject of 

subsidy that how to enhance the benefits 

of subsidies for the citizens’ in the wake 

of limited resources. On the other hand, 

an impact of such move on residents 

especially in the absence of the 

minimum wages structure has become 

major area of concern for the committee 

working on the subject. 

This is believed to be first step 

towards lifting of wider subsidies on 

energy and other sectors at a later stage 

and all stakeholders are deliberating on 

the subject very carefully and cautiously. 

The joint committee of the parliament 

and the government representatives has 

been deliberating for many weeks on 

this subject and is working to find out a 

common ground on subsidy issue. 

According to an official, Bahrain 

is expected to gradually lift fuel and 

electricity subsidies as part of plans to 

control the public spending in the wake 

of record low oil prices, a major single 

factor forcing the GCC to revisit their 

spending priorities. 

The Government has repeatedly 

made it clear that the time has come 

to redirect the subsidies for the wider 

benefits of the local population by 

reviewing the current model, which 

according to many, is not fulfilling its 

basic objective. 

Subsidy is one of the most 

misunderstood concepts in this part of 

the world as many see it as a welfare 

agenda of the GCC. With the changing 

revenue-expenditure dynamics, the 

8 Aug-Sept 2015


government of Bahrain is forced to 

redirect the benefits of subsidised 

services and commodities for the greater 

benefits of the low income stratum of the 

society. Over the years subsidy bills have 

been increased instead of controlling 

them and perhaps now we need to look 

into the benefits and its impact of such 

move on the national economy, said 

Mr. Jamal Fakhro Managing Partner at 

KPMG Fakhro. 

“We should be careful and make 

sure that Bahrain shouldn’t be impacted 

negatively by subsidies,” he said. “In 

the past 10 years the demographic shift 

wherein Bahrainis are outnumbered 

by expatriate population dictates 

us to change the subsidy strategy 

accordingly,” he added. 

Citing an example of Ministry of 

Electricity and Water, Mr Fakhro, said 

the electricity is subsidised almost 90% 

while its actual impact on the poor is 

minimal rather misused by those who 

can afford and should pay full price per 

unit of the electricity. 

Dr. Omar O. Al Mardi termed 

subsidies as a part of the GCC culture. 

“Subsidies cannot be treated as 

something strange as it has been part 

and parcel of society in this part of the 

world over the decades. This has become 

practice partly because of culture of 

sharing and partly because these States 

are blessed with oil which controlled by 

the Governments and they want to share 

the benefits of such natural resources 

with their people,” said Dr. Omar. 

“The move to withdraw the subsidies 

in a phased manner should not be 

starting with removal of subsidy from 

the meat. This will create an imbalance 

especially as we don’t have minimum 

wages in Bahrain. Once you remove the 

subsidy, for example from the meat as 

planned, it will have a huge impact on 

people who only get BD70 to BD100 per 

month and imagine how such earners, 

Once put into effect, these 

initiatives and programmes 

will earn the country an 

estimated amount of BD386 

million 

in disregard of being nationals or 

foreigners, can afford to buy meat with 

very meager resources,” said Dr. Omar. 

“The foreign work force is very vital 

to sustain and create a vibrant economy 

and such subsidies make country like 

Bahrain an attractive destination for 

workers. This will also impact the bills 

of the contractors whose food bills 

will go up as they have to feed huge 

number of labourers every day,” added, 

Dr. Omar. “The high meat prices will 

also impact the alternative choices of 

food for consumers such as fish which 

has already seen at least 300% times 

increase in the past four to five years. 

Once put into effect, these initiatives 

and programmes will earn the country 

an estimated amount of BD386 million. 

According to official statistics the 

Government pays close to BD300 million 

in subsidies on power yearly. The 

production cost of one unit of electricity 

is about 25 fils and being supplied to end 

consumers at three fils per unit. 

The lifting of subsidies will affect 

everyone and there will be a mechanism 

to compensate citizens, through may 

be issuing the ration cards or pay the 

monetary benefits to the nations through 

the smart card every month to purchase 

commodities such as meat at an open 

market prices. 

Currently, the government revenues 

are lower than its spending and it seems 

illogical to continue borrowing while 

expatriates and private companies 

benefit from such welfare oriented steps. 

The Minister for Information and 

the Official Government Spokesperson, 

Isa Abdulrahman Al Hammadi while 

highlighting the importance of the steps 

to lift subsidies said the current subsidy 

model has to be revisited. 

The Minister believes that the 

current model of subsidies is an extra 

burden on the government exchequer. 

The subsidy issue has been prompted 

by a shortfall in government revenues, 

which are expected to reach a total 

of BD4.255 billion in 2015 and 2016, 

The Government has 

repeatedly made it clear 

that the time has come to 

redirect the subsidies for the 

wider benefits of the local 

population by reviewing the 

current model 

compared with anticipated expenditure 

of BD7.292 billion over the same period. 

Bahrain, which is facing a deficit 

of BD1.47 billion this year and BD1.563 

billion next year, raised its debt ceiling 

from BD5 billion to BD7 billion in 

November. 

Government assets in Bahrain and 

Oman are much more limited, lasting 

for less than two years at current 

budget levels. Together with dwindling 

oil reserves (for Bahrain expected to 

be depleted around 2020 at current 

production levels, in Oman around 2030, 

this leaves these two countries exposed 

to severe medium-term fiscal challenges, 

reflected in downgrade actions by rating 

agencies earlier this year, according to 

Deutsche Bank Research. 

The United Arab Emirates on July 22 

announced that they would deregulate 

petrol and diesel prices from August 1st 

caused a minor sensation. It makes the 

federation of seven emirates the first 

amongst the Gulf Cooperation Council 

(GCC) governments to cut politically 

sensitive fuel subsidies long called for 

by the IMF and other observers. 

“Domestic fuel prices will still be 

set by the government (on a monthly 

basis) but linked to global market prices 

according to the Ministry of Energy. The 

decision comes at a time when cheap 

oil is eating into the budgets of GCC and 

other oil producers, increasing pressure 

but potentially also understanding 

of the local population for fiscal and 

economic reform. The UAE government 

justified the move with environmental, 

generational and economic development 

reasoning rather than fiscal 

considerations. 

“The UAE’s decision to cut energy 

subsidies is a strong signal for the 

Emirates' willingness to implement long 


9


overdue fiscal and economic reforms. 

The IMF and other observers of the 

region have been calling on the GCC 

countries for years to reduce energy 

subsidies in order to safe guard medium 

to long term sustainability of public 

finances, support diversification and 

remove misallocations and distortions 

in the economy. 

“However, Gulf States have been 

reluctant to change their established oil 

wealth distribution systems which are 

one of their main policies to maintain 

social stability. Kuwait in January rowed 

back on cutting diesel and kerosene 

subsidies after protests in parliament. 

Also the Emirates had so far focused 

on economic diversification to reduce 

hydrocarbon dependence rather than on 

subsidy cuts, with the exception of an 

increase of water and electricity tariffs 

in Abu Dhabi in January. But in times 

of substantially lower oil prices, the 

In the past 10 years the 

demographic shift wherein 

Bahrainis are outnumbered 

by expatriate population 

and we have to change the 

subsidy strategy accordingly 

costs of maintaining generous subsidy 

schemes appear increasingly high for 

countries which rely almost entirely 

on oil revenues to finance their fiscal 

budgets (80% of total revenues in the 

UAE are oil-related). 

According to a recent IMF report, 

pre-tax energy subsidies in the UAE 

are estimated at USD 12.6 billion (2.9% 

of GDP or 9% of overall government 

expenditures) in 2015. This puts them 

mid-range between Saudi Arabia and 

Bahrain at 4.6% of GDP and Oman, Qatar 

and Kuwait at 1.2-1.8%. 

“While subsidy cuts are an important 

step for fiscal consolidation and 

economic development in the UAE, the 

pressure to lift subsidies is even higher 

in several other GCC countries, mainly 

for three reasons. The fiscal impact of 

the 50% oil price drop since last summer 

is severe. The fiscal deficit resulting from 

lower oil revenues is expected at 15% of 

GDP for Bahrain and Oman this year, for 

Saudi Arabia even higher at 18%.” 

Compared to them, the UAE’s fiscal 

deficit of around 1.8% of GDP, stemming 

from a relatively low breakeven oil price 

of USD 65.5/bbl. 

“The UAE are closer to the GCC’s 

fiscal outperformers, Qatar and Kuwait 

which are even expected to keep 

their surpluses. Secondly, not all GCC 

countries can match the Emirates’ vast 

government wealth in order to weather 

revenue shortfalls in times of cheap oil. 

In the case of Saudi Arabia, FX reserves 

are as high as the Emirates’ FX reserves 

(including Sovereign Wealth Fund 

resources) estimated at almost USD 1 

trillion. But if Saudi Arabia had to cover 

a double -digit fiscal deficit for more 

than a few years without tapping debt 

markets, this would eat up substantial 

reserves. 

“In all other GCC countries, retail 

fuel prices are substantially lower than 

in the UAE. In Saudi Arabia, heavy 

subsidisation keeps fuel prices at 

record lows of USD0.07/litre (diesel) 

and USD 0.16 /litre (petrol), worldwide 

only surpassed by Venezuela and Libya 

(petrol). Compared to their neighbours, 

fuel prices in the UAE are already much 

closer to world markets, despite price 

regulation. On July 28, the Ministry of 

Energy announced that petrol 95 octane 

prices will rise as of August by 24% to 

USD 0.58/litre compared to USD 1.1/litre 

world average. On the other hand, diesel 

prices, which were priced above petrol 

before, will drop by 29% to USD 0.56/ 

litre, compared to a world average of USD 

0.96/ litre. 

“In the current environment of low 

oil prices, the short to medium-term 

impact of subsidy cuts on general 

price developments in the UAE can be 

expected to remain rather muted. 

“A substitution effect to now cheaper 

diesel will already lower the effect 

of higher petrol prices on inflation. 

According to the UAE government 

estimations, the expenses for petrol 

account for only 3-4% of house holds’ 

average income, reducing the passthrough 

to inflation (DB forecast 2015: 

The Government pays close 

to BD300 million in subsidies 

on power a year. The 

production cost for the one 

unit of electricity is about 25 

fils and being supplied to end 

consumers at three fils per 

unit 

3.6%) further. In this context, risks to 

social stability in the Emirates, which 

are amongst the world’s 25 wealthiest 

countries in terms of GDP per capita 

(around USD 45,000), should not rise 

substantially. 

A large share of the additional costs 

will be borne by non-nationals, with 

expatriates accounting for around 90% of 

the UAE’s total population. 

“Gulf peers are monitoring the 

implementation and public reception of 

subsidy cuts in the UAE very carefully. 

If successful, the Emirates’ move might 

not only serve as a regional role model 

for economic diversification but also for 

fiscal reform. Faced with substantially 

lower oil revenues, GCC peers might 

see themselves encouraged to follow 

suit, also as understanding of the local 

population for energy price deregulation 

may increase. 

“The most interesting question 

remains how the GCC’s largest economy 

and one of the world’s largest perhead 

energy consumers Saudi Arabia 

will approach the issue. Compared to 

the UAE, not only is fiscal pressure 

more profound but so too are sociodemographic 

challenges. 

“The average income of the 31 

million population is much lower at 

USD 25,000 and public discontent about 

structural problems such as economic 

inequality and (youth) unemployment 

was already a cause for concern before 

the drop in oil prices. Whether a public 

call for water and energy subsidy 

reforms by Saudi Arabian Monetary 

Agency (SAMA) Governor Almubarak 

earlier this year might be a signal of the 

Saudi government’s willingness to tackle 

the issue therefore remains to be seen.” 



11

Exclusive Feature Interview 


Lifting subsidies sans minimum 

wages to hurt businesses 

As the Kingdom of Bahrain is one step closer to lift the subsidy from meat 

from 1st September, many see it as a myopic view of subsidies culture and 

feel such move may jeopardise the competitive edge of the country. 

Dr. Omar O. Al Mardi, who has 

been a practicing Lawyer for the 

past 40 years, in an exclusive interview 

with Mahmood Rafique Senior Editor at 

bizbahrain termed subsidies as a part 

of the Gulf culture. “Subsidies cannot 

be treated as something strange as it 

has been part and parcel of lives in this 

part of the world over the decades. This 

has become practice partly because of 

culture of sharing and partly because 

these States are blessed with oil which 

Governments control but want to share 

the benefits of such natural resources 

with their people,” said Dr. Omar. 

“The move to withdraw the subsidies 

in a phased manner should not start 

with removal of subsidy from the meat. 

This will create an imbalance especially 

as we don’t have minimum wages in 

Bahrain. Once you remove the subsidy, 

for example from the meat as planned, it 

will have a huge impact on people who 

only get BD70 to BD100 per month and 

imagine how such earners, in disregard of 

being nationals or foreigners, can afford 

to buy meat with very meager resources,” 

Dr. Omar, argued. 

“The foreign work force is very vital 

to sustain and create a vibrant economy 

and such subsidies make country like 

Bahrain an attractive destination for 

workers. This will also impact the bills 

of the contractors whose food bills 

will go up as they have to feed huge 

number of labourers every day,” added, 

Dr. Omar. “The high meat prices will also 

impact the alternative choices of food 

for consumers such as fish which has 

already seen at least 300% times increase 

in the past four to five years.” 

On the other side, Dr. Omar said, 

what the Government propose to offer 

to the nationals in return of withdrawal 

of subsidy is very negligible. It is very 

strange that the first subsidy to be 

abandoned is suggested to be the meat!! 

Why!! . It is obvious that the choice in not 

wise. 

On a different subject, Dr. Omar, who 

has held numerous prominent legal 

public positions before joining the BAR 

in Bahrain, said the relationship between 

the bench and the bar in the Kingdom of 

Bahrain is very complex due its peculiar 

nature. 

“The legal profession in Bahrain is 

very complex because of the nature of 

the composition of the bar members, 

as we have lawyers not from Bahrain 

and we have people from different legal 

backgrounds from many Arab countries 

as well as from Western world. We also 

have people from various legal schools 

such as Islamic Schools graduates and 

people with qualifications from the 

European Continental or the U.K. Civil 

Law schools and from other local and 

regional institutions. 

“Apart from Bahrainis we have 

lawyers from East Africa, Egypt, Sudan, 

Syria, Jordan, U.K. etc. which makes 

Bahrain’s bar a very unique as we witness 

practicing lawyers from different schools 

and backgrounds and to some extent 

we see lack of harmony in terms of legal 

practice approach. 

“The bar’s role is seen very crucial 

in complementing the judiciary which 

enjoys a special status as the protector 

of the constitution, upholding the human 

rights, protect the law and individuals 

and make sure that justice is done. 

Dr. Omar O. Al Mardi 

Advocate & Legal Consultant 

Talking about the relationship 

between the bar and bench Dr. Omar said 

somehow it is not as smooth as it could 

have been. 

“No legal system perhaps can satisfy 

the political societies and associations 

on the subject of human rights as such 

platforms may have their own specific 

views and the administration of justice 

therefore always come under criticism. 

The flow of the information, meeting 

transparency, is very important and grey 

areas in this respect in some countries 

are not helping their judicial systems. 

Justice must be seen to be done and not 

only done. 

“The most important aspect is 

that one should see the justice being 

administered, which further signifies the 

role of the prosecutor general to uphold 

the legal system and the individuals right 

at all times and in all cases even without 

having defending Lawyers seeking that 

from him. He should act on behalf of the 

people. 

Highlighting the importance of 

training for the members of the bar Dr. 

Omar stressed the need to have some 

training by bringing all practitioners 

from different backgrounds under one 

umbrella. However, he said, Bahrain has 

embarked on major initiative to offer 

training to judges and the establishment 

of the Judicial Institute is part of 

such efforts. Training should target 



bar members also. Admission to the 

Legal Profession should be only offer 

a professional bar exam. As in many 

countries. 

Dr. Omar, who is a licensed advocate 

before the Court of Cassation, feels more 

efforts needed to elevate and update the 

legal system to match the requirements 

of dynamic businesses. 

On the appointment or election of 

the members of the board of directors of 

Commercial Companies, Dr. Omar said 

in most of the cases in the Gulf region, 

at least, it is seen as selection and not 

an election. We must realized that most 

of the big business in Bahrain, and the 

Gulf for that matter, are Family business 

growing into Commercial or industrial 

Companies, Owned by families. “You 

just can’t simply dictate on the owners 

about the composition of the boards of 

directors. As a natural tendency in the 

family businesses the appointment of 

the board members comes from the 

family hierarchy, or close consultants 

and confides and not from any other 

consideration. 

As part of efforts to bring some 

transparency in the formation of the 

board, Dr. Omar said that the Central Bank 

of Bahrain (CBB) now approves the names 

of members of the Financial Institutions 

boards. “This scrutiny is very helpful in 

bringing wider reforms in the formation 

of the banking boards. The issue to 

put a restricting limit on in how many 

companies boards’ one person can serve 

is also a good move and the distinction 

of ownership from management will 

bring efficiency and transparency to 

the way companies’ boards are running 

businesses. 

“It is very important to bring qualified 

people on the boards of directors of 

specialized Companies and those who 

are responsible, for example, to run 

professional business such as education, 

medical, banking and finance and 

hospitality institutions. In hospitals 

doctors must be involved, in industries, 

industry experts….etc. 

Talking about the business climate, 

Dr. Omar despite being an optimistic 

person feels that certain steps are needed 

to address the security issue, which 

according to him, has been seen as an 

issue by the investors in the past three to 

four years. 

“You can’t attract investments while 

they see a security issue because as a 

mindset the investment flows with the 

sense of security and not insecurity.” 

About the business prospects, he said 

Bahrain needs to rediscover its lost glory 

as it used to be known in the world as an 

offshore and financial center since 1975 

but slowly that status somehow faded 

away during the few past years. 

“Some have wrong perceptions about 

Bahrain to be known as an offshore 

center while there is absolutely nothing 

wrong with this status, as you will 

defiantly by such definition attract 

investors and multinationals to come 

and establish their businesses in Bahrain 

or been use Bahrain as a gateway to the 

entire region.” 

The recent example of being a 

business hub, he quoted, of Lithuania 

which had attracted 37000 companies in 

one year since it opened up its borders 

for international businesses. “Bahrain 

is known for offering best incentives to 

investors and businesses such as tax 

free regime, foreign ownership, training, 

no cap on repatriation of funds and 

no foreign Exchange etc. And many 

more. This model is good as you have to 

stand out as an attractive business and 

investment destination in this highly 

competitive environment.” 

There is no harm, he said, calling 

Bahrain an offshore center or a financial 

center but we need to put the right 

ingredients in place first. 

Explaining the business model of 

the Bahrain Financial Harbour (BFH), 

Dr. Omar said, it was conceived as a 

dynamic financial city in the heart of the 

Capital Manama. “The BFH is surrounded 

by a well-planned housing, business, 

shopping, hospitality and services and 

housing related projects which were 

originally planned to be completed 

by 2002 but couldn’t due to some 

constraints. At the beginning we had 

plans to have own private Commercial 

satellite, and have private executive 

jets service and other similar services 

to make the BFH a real business or a 

unique financial center. When we talk 

about executive jets for the business it 

is not a dream, it is a quite calculated 

profit oriented business which is in 

huge demand for a country like Bahrain 

due to its strategic location which is 

surrounded by some of the world’s 

biggest economies,” he said. 

“And part of the BFH promotion was 

promise of an attractive and desirable 

social life and the establishment of the 

Capital Club Bahrain is reflective of 

the approach which has been behind 

creating a thriving business model. The 

Capital Club Bahrain has emerged as one 

of the finest clubs helping to fostering the 

relationships among the businesses and 

investors. 

“The Capital Club has added a new 

dimension to the business stature 

of the Kingdom of Bahrain and this 

institution continues to play as a catalyst 

to attract more members from Bahrain 

and neighboring Gulf States as well as 

businesses,” he added. 

Dr. Omar has become director of 

more than 30 international, regional 

and local corporations including Banks, 

Investments, Hoteliers, Real Estate and 

other companies such as the owning 

company of Bahrain Financial Harbour 

Holding Co., Siam kempinski Co. 

(Thailand) – Al Sueban Co. (Bahrain) 

– Chairman of Emar Co.( Bahrain), Al 

Raya Co. (BVI) and Al Manar Co. (BVA), 

Delmon Siam Co. – Thailand.; Emar 

Bahrain (Cayman); Kempinski Hotels 

S.A. (Geneva); United Real Estate Co., 

United Supplies Co., Tourism Company 

(Bahrain), Awal Bank (Cayman), Lombard 

Atlantic Bank ( Liechtenstein), Saad 

Investment Company (Saudi Arabia) 

and United Hotels Co. (Bahrain) Dr. Al 

Mardi is also on the Board of Governor of 

Capital Club Bahrain and member of the 

Bahrain Human Rights Watch Society 

and Honorary Chairman of the Sudanese 

Club in Bahrain. 


13

Biz Finance 

Jean-Christophe Durand 

Outgoing CEO, BNP Paribas Bahrain 

New paradigm for banking in 

the offing 

With the rapidly changing business 

climate worldwide, the global 

banking industry is bracing for a new 

paradigm. 

“The new regulatory requirements 

such as capital adequacy and 

liquidity ratio on one side as part 

of the implementation of Basle-III 

and reinforced rules on anti-money 

laundering, tax evasion and compliance 

with international sanctions are some 

important aspects of the new realities 

the global banking sector is grappling 

with. The global banking industry is in 

the final stages of the implementation of 

Basle-III requirements and reinforcing 

its global standards of ethics and 

compliance ” outgoing CEO of BNP 

Paribas Bahrain, Jean-Christophe 

Durand, in an exclusive interview 

told Mahmood Rafique, Senior Editor 

bizbahrain. 


Biz Finance 

“The implementation of the new 

regulations will not only have an 

important impact in terms of costs 

for the industry but also puts strong 

pressure on the profitability and return 

on equity, and this changes the banking 

paradigm,” he said. 

“The implementation of the new 

regulations is an irreversible reality 

and therefore for the banks and 

financial institutions it is advisable 

to adapt quickly in order to maintain 

an acceptable level of profitability 

while complying with the regulatory 

requirements or even avoid possible 

penalties for being a non- compliant 

with the regulation . Some other 

challenges such as putting a lid on 

terrorist finance and tax evasion which 

have also prompted all regulators to step 

in more vigorously,” he said. 

Talking about the compliance 

function, Mr. Durand said that it has 

become a cornerstone in the banking 

industry and every bank has to take the 

compliance requirements very seriously. 

“All the banks have to be fully 

compliant with international and local 

regulations; otherwise the institutions 

will have to bear the brunt of penalties 

or even risk their business. The 

international banks operating in this 

region for example are making all the 

necessary efforts to adhere thoroughly to 

all local and international rules,” he said. 

“In terms of anti-money laundering 

controls, the banks and financial 

institutions need not only to know their 

clients well, but also the clients and 

counterparties of their clients, so that 

the whole chain they are dealing with is 

adequately monitored and controlled.” 

Regarding the change of business 

model and its impact on the banking 

industry’s lending ability in the GCC 

region, he said it is important to actively 

pursue the recent opening up of local 

capital markets, to promote a more 

structured approach to debt raising 

by the major borrowers as well as tap 

emerging sophisticated investors 

patterns such as regional investment 

institutions or even major corporates. 

“Opportunities in specialized 

banking business in the GCC justify the 

local presence of international players 

in the region, which can add value to the 

traditional banking sector or work in 

partnership with it.” 

“The declining oil price combined 

with a higher breakeven level for GCC 

states finances fuels efforts to find 

solutions to fund their deficit such 

as lifting subsidies and revisiting the 

decades-old model and bringing in some 

savings. All the counties in the GCC 

are currently weighing their options to 

adjust this gap. Countries across the 

region have been deliberating upon the 

issue to come up with some ideas, while 

trying to minimize the impact on the 

citizens. Some countries, for example, 

are considering introducing value 

added tax or VAT to bridge up the gap in 

revenues and spending.” 

“Bahrain has earned 

its reputation as 

a banking and 

financial hub which 

involves tireless 

efforts and hard 

work over the past 

30 years" 

“Although the GCC has been enjoying 

political stability since its inception, it is 

unfortunately surrounded by a number 

of on-going tense geopolitical situations 

and even conflicts such as currently in 

Syria, Iraq and Yemen. This is of course 

of concern for the business community 

and foreign investors, as stability and 

security are key considerations for 

creating a sustainable business climate.” 

“The era of sustained high oil 

prices has come to an abrupt end with 

significantly weaker oil prices and 

no immediate prospects for a sharp 

recovery. This new era creates the need 

to adjust the economic model and the 

way it is financed. But at the same time, 

it brings new opportunities such as the 

development of capital markets across 

the region, which attracts investors. 

We could also see financing structured 

in a more sustainable way as well as 

more selectivity in certain investments. 

Adaptation of the business model also 

means opportunities to create economic 

growth.” 

“The GCC GDP growth forecast is 

around 3 to 4% for the coming year. 

While this forecast is slightly lower 

than the earlier figure of 5% , it remains 

still much better than many developed 

countries.” 

Highlighting the possible impact 

of low oil prices, he agreed that there 

will be some shift in thinking about the 

way funds are being spent in the wake 

of lower government revenues, even 

for those countries which enjoy vast 

reserves. But the GCC enjoys a much 

stronger economic base than many 

emerging economies with lower debt 

levels. It can rely on substantial surplus 

reserves and an abundance of liquidity 

which provides this region with a good 

ability to face the challenges created 

by low oil prices in the near future. 

It also has accumulated significant 

investments abroad which produces 

good returns and are another buffer. 

“Bahrain has earned its reputation 

as a regional banking and financial hub 

through tireless efforts and hard work 

over the past 40 years. It has attracted 

major international and regional players 

over the years. A lot of European and 

American banks have established their 

presence across the GCC and recognized 

its importance. But one has to recognize 

that the region is very well reputed for 

its own performing banking industry 

and boast some major players in this 

field .” 

Durand, who has been personally 

pivotal in establishing BNP Paribas MEA 

HQ in Bahrain, considers the Kingdom 

as the right place for a global banking 

giant to host its regional operations. 

“Bahrain has some very inherent 

advantages making it easy to do 


15

Biz Finance 

business including human capital, 

reputed supervisory authorities, 

adequate regulations and a good 

business climate. The local workforce is 

very dynamic and international-minded. 

Recently BNP Paribas for example has 

offered a position to a Bahraini national 

in its Paris office. This is considered as 

a real success and a reversal of usual 

patterns.” 

“Similarly as a bank established 

in Bahrain, one does not face any 

problem finding local talents to hire for 

its operations nor importing specific 

expertise when required. This adds 

a new dimension to the diversity of 

human resources. BNP Paribas in the 

GCC boasts 43 different nationalities in 

its staff , most of which are represented 

in Bahrain, which is something to be 

proud of.” 

“The banking business model in this 

region has been evolving since the 1980’s 

,which used to be known for ‘recycling 

petro dollars.’ This has changed a lot 

since then and it offers a much more 

sophisticated activities including 

investment banking, assets management 

and traditional commercial banking. 

Wealth management itself in this region 

has evolved and has now emerged as 

an important business carried out by 

international financial firms. The GCC 

has indeed become a very important 

hub in the world in this respect. This is 

reflected in the very important portfolio 

of individual wealth deployed from the 

region with huge interests in real estate 

in Europe or the US.” 

Talking about the different lines 

of activity in the banking sector , he 

pointed out that prominent international 

banks such as Standard Chartered 

Bank, HBC or Citi Bank, which have 

been around in this region for several 

decades, have now placed 

their experts in the region to 

support their asset management, 

advisory services, capital markets or 

trade finance businesses in these oil rich 

and fast developing states. 

Highlighting some of the features 

of the GCC monetary union, he said the 

success of this initiative would positively 

impact the development of the region. 

“The GCC already has a strong base to 

progress from, such as common culture 

and language, aligned views on major 

topics, similar levels of development and 

a good level of economic integration. 

These aspects should provide strong 

encouragement to pursue this initiative, 

which will in turn further the economic 

integration of the region with a single 

currency.” 

JC Durand, who has been working in 

the banking industry for past 33 years 

and 30 years in the Middle East and 

Africa region, believes that the GCCplanned 

monetary union is still a good 

project and a further step in the right 

direction aimed at promoting regional 

growth and prosperity. 

Talking about the Capital Club 

Bahrain, JC Durand feels its presence 

has proved an excellent opportunity for 

bankers, businessmen, investors and 

even the public sector’s Who’s Who to 

network and exchange. The Capital Club 

has added a new dimension to Bahrain’s 

business stature as a known networking 

and social place in the region. 

“The Capital Club is a very good 

institution for networking and bringing 

people of different walks together from 

Bahrain and beyond.” 

BNP Paribas board endorses 

interim financials for 1st half 

The Board of Directors of BNP Paribas 

met on 30 July 2015. The meeting was 

chaired by Jean Lemierre and the Board 

examined the Group’s results for the 

second quarter 2015 and endorsed the 

interim financial statements for the first 

half of the year. 

BNP Paribas posted a very good 

performance of the quarter that ended 

June 30th 2015, in a context of a gradual 

return to growth in Europe. Revenues 

were up sharply and grew in all the 

operating divisions. The Group showed 

the strength of its integrated business 

model building on a solid and diversified 

customer base. 

Revenues at 11,079 M EUR were up 

by 15.8% compared to the second quarter 

of 2014. The revenues of the operating 

divisions were up significantly (+12.2% 

compared to the second quarter 2014). 

They also benefited from the positive 

impact of the acquisitions made in 2014. 

Operating expenses, at 7,083 million 

euros, were up by 11.2%. The operating 

expenses of the operating divisions were 

up by 11.4%, resulting in a positive 0.8 

point jaws effect. 

Gross operating income was up by 

24.8%, at 3,996 million euros. It increased 

by 13.5% for the operating divisions. 

The Group’s cost of risk was up by 

5.6% compared to the same quarter last 

year, at 903 million euros (51 basis points 

of outstanding customer loans), due to the 

scope effect related to the acquisitions 

made in 2014 (2). It was down slightly 

excluding this effect. 

As a reminder, in the second quarter 

of last year, the Group booked a total of 

5,950 million euros in the costs related to 

the comprehensive settlement with the 

U.S. authorities. 

Pre-tax income thus came to 3,685 

million euros compared to -3,450 million 

euros in the second quarter 2014. It rose 

by 18.2% for the operating divisions. 

The Group generated 2,555 million 

euros in net income attributable to equity 

holders . Excluding the one-off items, 

it was up sharply by 13.7%, illustrating 

the Group’s very good performance this 

quarter. 

As of 30 June 2015, the fully loaded 

Basel 3 common equity Tier 1 ratio (3) 

stood at 10.6%, up by 30 basis points 

compared to 31 March 2015. The fully 

loaded Basel 3 leverage ratio (4) came 

to 3.7% (+30 basis points compared to 31 

March 2015). 

Net value per share was 68.8 euros, 

equivalent to a compounded annualised 

growth rate of 6.5% since 31st December 

2008, illustrating the continuous value 

creation throughout the cycle. 



17

Al Haddad Mercedes-Benz 


Bahrain emerges 

as a mature 

automotive market 

Graeme Newport 

General Manager, 




“The Kingdom of Bahrain is a mature 

automotive market given it is relatively 

small,” states Graeme Newport, General 

Manager at Al Haddad Mercedes-Benz. 

Understanding that a giant leap in 

sales cannot be expected every year, like 

2012, Graeme Newport considers the first 

half of the year was a good result. 

Graeme Newport, in an exclusive 

interview with Mahmood Rafique, 

Senior Editor bizbahrain, maintains that 

the expected sales in the automotive 

business fluctuate due to many 

contributing factors. 

There is no need to be pessimistic 

about the future of the automotive 

business despite the fact it has not been 

growing at the expected pace in the 

recent past. The GCC region faces many 

challenges including some instability 

in neighboring countries and other 

markets also face similar challenges. 

When compared with other 

countries, Bahrain remains a good 

business destination. Graeme further 

asserts, “Doing business in Bahrain 

is much easier as the Ministries, the 

regulations and the overall business 

climate is very friendly.” 

Mercedes-Benz as a brand enjoys 

a unique position in the market. The 

approach to continuously rollout 

models has helped reduce the age of the 

Mercedes-Benz cars across the board by 

providing a much younger fleet than a 

few years ago. To bolster the Mercedes- 

Benz line-up across many categories, 10 

new models have been launched during 

the last two years and there will be 10 

more in the next four years. 

“We have been working hard on 

creating new client base while providing 

best after sales services to retain 

our existing customers. The recent 

initiatives have opened up new avenues 

for more customers. For the first time 

a new Mercedes-Benz can be owned at 

just BD250 a month. ” 

Al Haddad Motors announced 

its summer promotions throughout 

August and September: a 250 for 250 

deal. Customers have the opportunity 

to purchase a car from the Mercedes- 

Benz 250 line, which includes the GLK 

250, GLA 250, CLA 250 and A 250 for only 

BD250 per month over 84 months. 

The range of vehicles on offer speaks 

to a wide array of customers who can 

benefit from this summer sensation. 

The GLA and GLK models are ideal 

for families looking for an SUV, fit for 

making memories. The CLA is the best 

choice for those who are looking for a 

sporty seductive sedan. The A 250 is the 

ultimate idol when it comes to the world 

of compact cars. 

Customers need to only pay BD250 

down payment in order to drive home a 

brand new Mercedes-Benz. Customers 

who avail this exciting offer will receive 

a myriad of additional benefits including 

free registration and one-year insurance. 

They will also get three years of the 

silver service package that covers all 

Mercedes-Benz scheduled services, 

labour, oil, fluids and filters for a period 

of either 3 years or 60,000 kilometers. 

On the Service side, Mercedes-Benz 

has reduced the servicing costs by at 

least 30% compared to its peers. The 

excellent product packages on offer are 

backed by incredible after sales service. 

There are numerous options available, 

even for leasing the Mercedes-Benz 

range. 

“We want to give customers a longer 

window in which to enjoy great deals 

on Mercedes-Benz vehicles. It’s such 

a pleasure to see customers’ delighted 

expressions when they realize they don't 

have to rush everything.” 

Graeme concludes, “Customers’ 

satisfaction serves as our cornerstone 

in sustaining the client base. Al Haddad 

Motors has earmarked $20 million to 

invest in after-sales services and new 

showrooms for Mercedes-Benz cars and 

trucks.” 

We also invest in our people and 

we offer excellent job opportunities 

for young Bahrainis. By mid of 2015, 

our Bahrainisation level is at 42% and 

is as high as 80 per cent in the sales 

department.” 


19

Bilateral Commerce 

The Malaysian Ambassador HE Ahmad Shahizan Abdul Samad ASEAN Ambassadors and guests during the flag hoisting at the 

Malaysian embassy premises 

Malaysian Embassy marks 48th 

ASEAN Day in Manama 

The embassy of Malaysia in Manama 

held a reception and flag hoisting 

ceremony in a style marking the 48th 

ASEAN Day celebrations. 

The Ambassador HE Ahmad 

Shahizan Abdul Samad in his greeting 

speech welcomed HE Ambassador 

Dr. Dhafer Alumran, Assistant 

Undersecretary for GCC and Western 

Countries Affairs at the Ministry of 

Foreign Affairs the Kingdom of Bahrain 

and as guest-of-honor representing 

H.E. Minister of Foreign Affairs of the 

Kingdom of Bahrain, and invited guests. 

Following is the text of HE Malaysian 

Ambassador’s speech during the flag 

hoisting ceremony. 

Assalamualaikum W.B.T. and A Very 

Good Morning and a Warm Greeting of 

welcome and ‘Selamat Datang’ to all our 

honoured guests celebrating the 48th 

ASEAN Day flag raising ceremony at the 

Chancery of the Embassy of Malaysia. 

Let me also humbly extend my profound 

thanks and gratitude to all of you for 

your gracious presence, to which I am 

deeply honoured and indebted to. 

“It was exactly on 8 August 1967 that 

ASEAN was born and that today together 

we celebrate the 48th Anniversary of 

ASEAN. 

“Indeed, on 8 August, the ASEAN 

embassies, ASEAN corporate and 

private sectors, ASEAN NGOs and civil 

societies and ASEAN Citizens around 

the world celebrated this 48th ASEAN 

commemoration. 

“Truly so as ASEAN Citizens in 

Bahrain, we are also honouring this 

auspicious anniversary, which is a 

significant landmark achievement 

towards the realisation of an ASEAN 

Community by the year's end. On record, 

there are about 120,000 ASEAN Citizens 

in Bahrain, and we have undoubtedly 

made tremendous achievements since 

2012 that inter alia were as follows: 

“The seven ASEAN Embassies in 

Bahrain, including two non-residence 

Embassies in Saudi Arabia (Singapore) 

and Kuwait (Vietnam) have been flying 

both the ASEAN flag side-by-side with 

our respective national flag in 2012. 

“The credits go to the ASEAN 

Embassies in Bahrain as this is our 

fourth consecutive year we have been 

celebrating the ASEAN Day Flag Raising 

Ceremony in Bahrain, which was 

initiated by the Philippine’s Ambassador 

in 2012, followed by Malaysia in 2013, 

and Indonesia in 2014. Since Malaysia 

is the Chairman of ASEAN 2015, we wish 

to celebrate this momentous occasion 

today with the theme “Our People, 


Bilateral Commerce 

Our Community, Our Vision.” Most 

significantly, we are able to build bridges 

between various communities and 

countries such as this event, bringing 

ASEAN Heads of Missions closer 

together and strengthen the ASEAN Plus 

Dialogue Partners Ambassadors from 

China, Japan, Korea, India, Pakistan, 

Russia and United States of America 

in Bahrain. This is a stunning recordbreaking 

accomplishment for ASEAN 

thus far in this Kingdom. 

“With the theme of “Our People, Our 

Community, Our Vision,” the ASEAN 

Community will focus on Peopleoriented, 

People-centered ASEAN, 

encompassing all areas of cooperation. 

Furthermore, we are determined to 

strengthen ASEAN Centrality and all 

ASEAN-led mechanisms, ensuring 

the benefits of inclusiveness and 

sustainability to ASEAN in meeting 

the challenges and dynamics of global 

developments. With our focus on the 

realization of ASEAN Community 2015, 

we ASEAN Citizens must therefore 

“Think ASEAN, Feel ASEAN, Act ASEAN,” 

as One ASEAN: People First, Community 

Now. 

“Thirdly, as we commemorate the 

48th ASEAN Day, our challenge in 

Bahrain is to extend our undivided 

support and commitment to the 

well-being, peace and stability of this 

Kingdom. We the ASEAN Citizens 

strongly condemn the heinous terror 

blast in Sitra recently, which killed two 

security forces and injured 35 others and 

offered our deepest condolences to the 

bereaved families. 

“We further denounce the criminal 

and inhumane acts of internal 

interference, sabotage, vandalism, 

extremism and terrorism in Bahrain. 

We therefore support the leadership, 

efforts and commitments of His Majesty 

the King, Their Royal Highnesses the 

Prime Minister and The Crown Prince, 

The Government and The People of 

the Kingdom of Bahrain as well as Her 

Royal Highness Wife of The King on the 

empowerment and leadership of women 

in Bahrain. 

“Fourthly, we ASEAN citizens in 

Bahrain wish to commend and thank 

our mass media friends for taking the 

leadership role to support, to trust and 

to continue reporting the truth and 

the real image with responsibility and 

accountability to the people at all times. 

“Last but not the least, allow me to 

acknowledge with endless thanks to 

those who have made the 48th ASEAN 

Day Celebration stunningly amazing, 

whom amongst others are SF-MGC, 

BAMCO, MAYBANK Berhad, Indonesian 

PASKIBRA, several prominent Malaysian 

companies, ASEAN communities and 

leaders in Bahrain, mass media and 

social-media friends, and above all, the 

Organising Committee members of the 

embassy of Malaysia for their dedication 

and excellent work done for this event.” 

“The ASEAN communities and 

leaders in Bahrain had also successfully 

organized three consecutive years of 

ASEAN community-building awareness 

through the ASEAN Games and Gala 

Dinner in 2012, 2013 and 2015. 

“Secondly, 2015 is a significant 

year to ASEAN and the 48th ASEAN 

Day Celebration is testimony of the 

realisation of the ASEAN Community 

by the year's end. This year programme 

for instance is specifically designed to 

raise awareness, foster and strengthen 

ties amongst the ASEAN citizens as the 

ASEAN community is realised this year, 

including us in Bahrain. 

The Malaysian Ambassador HE Ahmad Shahizan Abdul Samad with HE 

Ambassador Dr. Dhafer Alumran, Assistant Undersecretary for GCC and Western 

Countries Affairs at the Ministry of Foreign Affairs the Kingdom of Bahrain 

during the reception 


21

CBRE Real Estate Analysis 


A bright new dawn for Bahrain 

real estate? 

As the saying goes, there is no smoke 

without fire, and, if the reports in the 

press are to be believed, backed by the 

evidence of our own eyes, the lights are 

back on at one of Bahrain’s most high 

profile property developments, where 

the cranes have been idle for some years 

now, and all indicators suggest that 

work is set to re-commence at Villamar, 

the landmark three tower residential/ 

hospitality project that sits behind 

the twin financial towers at Bahrain 

Financial Harbour. 

the residential and commercial office 

sectors. 

In real terms, the actual number of 

failed, or stalled, projects in the Kingdom 

have been tiny in comparison to some 

other notable GCC locations, but, sadly 

for Bahrain, due to the size of the market 

and the very prominent location and 

visibility of most of the failed projects, 

the detrimental impact on confidence in 

the market has been disproportionate to 

the numbers involved. 

This is the first concrete (pun 

intended) evidence to support 

statements circulated by various 

government entities that Bahrain is 

getting serious about regulating the real 

estate market and follows a raft of recent 

legislation that seeks to provide a stable 

and transparent framework upon which 

secondary (existing stock) and primary 

(under development) real estate can be 

Steve Mayes 

Director, Sales & Agency, CBRE 

transacted with enhanced confidence 

for buyers and provides clarity with 

regard to lease contracts, primarily in 

Villamar is probably the most 

widely cited example, maybe because of 

prominence and visibility, but equally 

notable, especially in the eyes of those 

who have yet to see delivery of the 

properties that they have invested in, 

are Marina West, a collection of eleven 

unfinished residential and hospitality 

towers clearly visible as you enter the 

Kingdom from the Saudi causeway, 



andAmwaj Gateway, which, as the 

name suggests, greets Amwaj Islands 

residents and visitors upon arrival as 

a stark, grey reminder of the perils of 

real estate investment and what can 

go wrong. Other delinquent projects, 

such as Al Areen, might actually be 

more significant in terms of gross 

development value, or size, but by virtue 

of geographical location and thereby ‘out 

of sight, out of mind’ does not attract 

the same level of public notoriety. The 

unfinished component of Riffa Views, 

the high end secure and gated, golf 

course anchored community of private 

villas in the centre of the island, Park 

Estate, still detracts from an otherwise 

first class development and it is widely 

anticipated that this, and the other 

stalled projects mentioned, will benefit 

from the measures being put in place, 

allowing them to be completed in timely 

fashion. 

Figures vary, but it has been widely 

claimed that between $350 and $400 

million is required to complete the ‘big 

six’ stalled projects, which includes 

Marina Reef residential project on 

Reef Island, not mentioned above, and, 

in the context of the 10 billion GCC 

Development Fund, set up to finance 

development in Bahrain over 10 years 

from 2011, this represents a mere 4% of 

the funds being made available. 

Principal amongst the measures 

being put in place are Law No. 28 of 2014, 

regulating real estate development in 

Bahrain, the first legislation of its type 

for the Kingdom, and Legislative decree 

No.66, also of 2014, which addresses 

the Settlement of Stalled Real Estate 

Projects. 

Most stakeholders in real estate 

development acknowledge the necessity 

for a regulatory framework and Law 28 

came into effect on February 7th giving 

developers six months to put their house 

in order (pun intended again) although 

quite how this can be achieved remains 

to be seen as key measures, such as, 

the ‘Concerned Authority’ approved by 

the Minister, or Ministry, still require 

nomination by subsequent decree. 

Despite any understandable confusion 

arising from the missing components 

of the new law, this is a positive step 

forward and requires developers to 

complete a master plan and to procure 

a license to commence development 

form the Concerned Authority before any 

promotion, marketing or construction 

can take place. Before being granted a 

license the developer will need to prove 

ownership of the property and a right 

to develop the land, submit a master 

plan for approval, receive building 

permits, submit an engineer’s estimate 

of the total project value, have the 

sales agreement with buyers approved 

and prove that an escrow account is 

established with 20% of the project value 

deposited therein. There are still ‘grey 

areas’ open to interpretation, such as 

whether the land value constitutes part 

of the 20% required to be deposited, but, 

on the whole, the new law certainly 

establishes firmer foundations (yes, 

another pun) for investors than anything 

previously in place in the Kingdom. The 

license is valid for up to three years 

and must be registered with the Survey 

and Land Registration Bureau within 

thirty days of receipt. Project sales are 

prohibited before grant of the license 

and any contracts pre dating the license 

will be void. Penalties for not complying 

with the new law include both fines and 

imprisonment, but these are yet to be 

specified. 

Legislative Decree No.66, regarding 

Settlement of Stalled real Estate Projects 

came into force on December 6th 2014. 

This new law has been introduced to 

restart real estate development projects 

in Bahrain, where units have been 

sold off plan and payments made but 

the project has stopped, or has stalled, 

causing a detrimental effect on the 

economy of Bahrain. 

Three criteria have been established 

by the Decree to determine a ‘stalled 

project’ and these include a proven 

lack of seriousness, on the part of the 

developer, to complete the project, 

failure to commence the project 

without valid reason, once permits and 

approvals to develop are in place, and 

failure to execute the project due to 

gross negligence. Under the terms of 

the decree an ‘Entity’ will be set up by 

a Cabinet of Ministers to investigate 

stalled projects and report findings 

to a committee. The committee is 

empowered to remove the causes of 

the stalling and to reach a settlement. 

Timelines to agree a settlement and 

implement approved measures are 

sketchy, but in essence there seems to 

be around nine months for stakeholders 

to move forward, otherwise the 

Committee has wide ranging powers to 

take all measures it deems appropriate 

to kick start the project. 

As with all new legislation, the 

measures specified have yet to be tested 

in a court of law and it would appear 

that some remedial measures open 

to the committee have been hastily 

drafted without being fully thought 

through. Once such measure includes 

the committee’s right, in certain 

circumstances, to sell the development 

by public auction. Commentators have 

expressed concern as to how that can be 

achieved if plots, or units, have been sold 

freehold to investors prior to the project 

failing, thereby defeating one of the 

fundamental rights of freehold property 

ownership. 

Despite initial reservations and an 

apparent need for some tighter drafting 

to remove grey areas in the legislation, 

all those engaged in the real estate 

development market are unanimous in 

praising the Government for overhauling 

real estate regulations in Bahrain and 

for demonstrating a commitment to 

restoring confidence levels to maximize 

investor interest in the property market. 

As a new day dawns over Bahrain’s 

property development market, all 

stakeholders are banking on this 

new commitment to stability and 

transparency establishing the 

confidence necessary to carry the 

market forward to the benefit of 

Bahrain’s economy and all citizens. 


23

Biz Real Estate Insights 


Selecting the Right 

Office Space 

Drawing the right selection criteria 

One of the most challenges in today’s 

Corporate Real Estate industry that 

Corporate Real Estate Managers face is 

to get the best-fit office space that meets 

the overall corporate requirements. 

Based on my experience dealing with 

corporate clients, many of them spend 

so much time and money to get an office 

space and at the end (usually after 2-3 

years) turns out to be not the right space 

or location for them, we need to stop 

here and ask ourselves why? 

In this article I will be drawing and 

discussing the selection criteria for 

getting the right office space when it 

comes to a corporate institution/client, 

and to be more specific, I will focus on 

the case of a commercial bank looking 

to rent an office as a headquarters “HQ”. 

I have chosen the bank case since banks 

are not straight forward case to deal 

with, there are a lot of technical aspects 

to be looked at when placing a bank at 

the best-fit building, which needs more 

elaboration to be discussed in future 

articles. 

A successful selection criteria takes 

into account the input from Business, 

Operations, IT and HR units to start 

with which will determine the required 

space/location if input was calculated 

carefully at the first place. Usually 

developing the selection criteria and 

managing the lease process is done by 

the Corporate Real Estate Manager who’s 

an employee of the bank, otherwise 

banks should hire professional real 

estate agents to run this assignment on 

their behalf professionally and represent 

them in the market. 

I have gathered based on my 

experience a selection criteria to be 

followed when selecting the right 

commercial space for a commercial 

bank, which if followed it will lead to a 

successful office acquisition: 

The Priority 

After determining how much space 

is required and got the budget approved, 

the question comes to, does the bank 

prefer to occupy a whole building or 

rent a space within a commercial? The 

selection criteria will slightly differ in 

both cases; occupying a whole building 

will lead to full control of the property, 

whereas sharing part of a commercial 

tower with other tenants will limit 

the privilege of the first case such as 

controlling the entrance and the car 

park. 

The Geographical Location 

1. Location to be within financial 

district/hub matching the profile of the 

bank 

2. Location to have an easy access with 

preferably high visibility from main road 

3. In some banks cases, there is a 

preference to obtain a prestigious 

address such as Bahrain World Trade 

Bassam Kamashki 

Independent Real Estate Professional 

Center “BWTC” or Bahrain Financial 

Harbor “BFH” which are considered to 

be the two main prestigious towers in 

Bahrain 

The Building 

1. Privacy is important, especially in 

the case of occupying large part of the 

building, in case of the bank renting 

large portion of the building (being an 

anchor tenant), this can open the door of 

negotiation with the landlords to have 

a separate reception area and dedicated 

elevators (depending on number of staff 

and what percentage of the building 

the bank occupies), this is subjected to 

landlord’s approval ofcourse as long as 

it doesn’t interrupt the operation of the 

whole building 



2. Having retail space at ground floor is 

a plus so the bank can have their main 

retail branch and their office at the same 

building 

3. Building to have high security 

control provided by the landlord 

4. Building to be well maintained as 

this will reflect on the bank’s image 

5. Free car parks to be allocated in 

addition to the option to rent extra 

parking lots, having a car park space for 

VIP guests/ valet parking is a plus (such 

as BWTC). Today the biggest challenge 

in the commercial real estate market in 

Bahrain is the availability of the right 

car park space/ ratio addressing office 

requirements. In case the building 

doesn’t offer enough car parks, is there 

within a close proximity any paidparking 

building/ yard that could be 

rented on long term basis? 

6. Building main reception to be 

welcoming and up to the standard of 

the bank, this is in the case the bank 

not being able to secure a separate/ 

dedicated reception desk 

7. Tenancy mix of the building; tenancy 

mix of the building to be homogenous; 

in other words other tenants to be of 

relative activities, as example a bank 

would not prefer to be in the same 

building with clinics, schools, etc. 

8. Building infrastructure to support 

the bank’s IT/communication/security 

requirements 

9. To have an external signage on the 

building is a plus if permitted by the 

landlord to display their logo in order to 

show presence in the building 

10. Regulatory approval of the selected 

location is essential 

The office Space 

1. The offered asking rate is within 

bank’s approved budget 

2. The offered leasable area to match 

the bank’s space requirements 

3. In case of open floor (shell & 

core) The structure of the floor to be 

flexible for partitioning; for example 

having minimum is columns is always 

better and easier for efficient space 

partitioning 

4. Having office with outside view is 

a plus rather than inner office, hence 

to have natural lighting and nice views 

that would reflect on the ambience of the 

office 

5. Does the landlord offer fitted toilets 

and kitchens or a provision for it? Are 

they dedicated or shared? In case of 

toilets being shared for the whole floor 

with other tenants, enough no. of toilets 

need to be provided and to be well 

maintained by landlord 

6. Is there a preference for all floors to 

be connected i.e. in a series? This is very 

important specially when occupy a large 

portion of the building, otherwise there 

will be a high usage of the elevators due 

to frequent traveling between distant 

floors that will disrupt the overall 

elevators traffic system of the building 

7. Does the office supply enough power 

requirements addresses the bank’s 

needs? Is there any provision to add a 

back-up power such as UPS? 

I hope the above was useful and 

l look forward to receive any further 

thoughts or comments. You can always 

email me on bassamkameshki@yahoo. 

com 


25

Biz Events 

Amazing Prizes at Al A’ali Shopping 

Complex’s "Shop & Win" Campaign 

Al A’ali Shopping Complex, the first high-end 

shopping destination in Bahrain, is launching its 

"Shop & Win" promotional campaign, which will offer 

its valued shoppers daily instant prizes along with a 

chance to win a Grand Prize. 

Al A’ali Shopping Complex’s Shop & Win promotional 

campaign will take place from the 1st to the 30th of 

September 2015. Shoppers will be entitled to receive 

1 raffle draw voucher for every BD 10 spent at any 

store or restaurant in the complex. Additionally three 

instant prizes will be given away daily to the 1st three 

customers who spend BD 150 or more. Shoppers who 

qualify for an instant prize will get 30 seconds to select 

a ball from a pool of multi- colored balls surrounding the 

car display. The Grand Prize draw will be held at the end 

of the campaign and the lucky participant will win a 

2015 Mini Cooper. 

Commenting on behalf of Al A’ali Shopping Complex, 

Ms. Shafeeka Fakier, Centre Manager, said “This 

campaign aims to award our shoppers with valuable 

prizes as well as to promote luxury brands and highend 

products that define the complex as the preferred 

destination for quality and luxurious style and fashion.” 

For more information or inquiries please visit the 

information desk at Gate 1 or contact Al A’ali Shopping 

Complex on 17581000. 



27

Marketing at its Best 

How to understand your 

target customer segments 

quickly and effectively 

Imagine you have what you believe to 

be a fantastic innovation that you want 

to ensure gets in the hands of customers. 

But who are those customers, and why 

should they buy the product from your 

company and not another? This is a 

difficult question to answer, and one that 

many companies with high-potential 

innovations struggle with. 

Geoffrey A. Moore’s book Crossing 

the Chasm utilizes a means of 

developing profiles of your potential 

target customers in order to decipher 

which ones are the most attractive. It 

gives you the ability to focus your efforts 

on one type of customer rather than 

focusing too much on the early market, 

especially when there isn’t one for what 

you’re trying to sell. 

Why you wouldn’t focus on the 

market as a whole (and capturing a 

portion of it) and instead focus on a 

target customer type is perhaps the 

subject of another article. But for now 

let’s just say this: if you capture that 

target customer and sweep them off your 

feet with your innovative product, then 

you stand a good chance of growing by 

adding more and more types of similar 

customers, and ones with even more 

sophisticated requirements. 

The trouble is that in order to define 

your target customers, you need to have 

a good idea of who they are. And when 

you first launch a new innovation, you 

might not have a lot of information to 

start with – so you will have to take a 

best-guess of what it is. The process 

of developing target customer profiles 

helps you to develop a character in your 

mind of the kind of customer you most 

want to sell to. 

Here is how to start: 

Write out the ‘Header’ information 

for your target customer. This should 

include: 

1. For business to business markets, 

this includes industry, geography, 

size of organization, number of users, 

department, and similar information. For 

consumer markets, this includes mainly 

demographic (age, sex, income, social 

group, etc.) 

2. Describe the buyers in the target 

customer’s organization. Usually there 

are three types, and it is possible for 

one person to have the role of one or all 

three: 

i) The economic buyer is the person 

who ultimately decides whether 

to buy your product or not. He or 

she signs the contract or cheque to 

start working with you. This may be 

the CEO of a small business in B2B 

markets or the mother of a child that 

needs new sporting equipment. 

ii) The end user is the person who 

uses the product or service and may 

provide guidance to the economic 

buyer when making the purchase 

decision. This could be a sales 

manager providing feedback to 


Marketing at its Best 

the purchasing director on various 

customer relationship management 

(CRM) software tools. 

The technical buyer is the person 

with specialized expertise relevant to 

your product within the customer’s 

organization. This may be the IT 

department head reviewing how 

the CRM tool integrates with other 

established systems in the organization. 

A day in the life (before): 

1. Scene or situation: Focus on the 

moment of frustration. What is going on? 

What is the user about to attempt? 

2. Desired outcome: What is the user 

trying to accomplish? Why is that 

important? 

3. Attempted approach: Without the 

new product, how does the user go about 

the task? 

4. Interfering factors: What goes wrong? 

How and why does it go wrong? 

5. Economic consequences: So what? 

What is the impact of the user failing to 

accomplish the task productively? 

Staying on the CRM tool as an 

example, the buyer may be frustrated 

with how leads are managed. The sales 

team may be talking to a lot of leads, but 

not managing their time. Many contacts 

that are developed get lost along the 

way, and if someone from the sales team 

leaves the organization, then the contact 

leaves with them. There must be a better 

way! 

Their desired outcome may be to 

have greater visibility on what the sales 

team are doing and have some of their 

KPIs measured. How many leads are 

they talking to? How many meetings 

are they having per week? What can we 

do to improve their productivity and 

effectiveness? 

The company may have attempted 

to get the sales team to put all their 

leads on an excel sheet and manage 

them manually. While this does help to 

quantify things, it is a frustratingly long 

and tedious process. 

The extra time it takes for 

management to ‘manage’ leads on the 

excel sheet diverts their attention from 

managing sales. No other new initiatives 

are put in place, and sales stagnate. They 

may have slightly more visibility on 

what they sales team are doing, but sales 

definitely haven’t improved! 

A day in the life (after): 

1. New approach: With the new product 

how does the end user go about the task? 

2. Enabling factors: What is it about the 

new approach that allows the user to get 

unstuck and be productive? 

3. Economic rewards: What are the 

costs avoided or benefits gained? 

The buyer uploads the company’s leads 

from excel onto the CRM tool. He assigns 

one sales rep to have a play around 

with the system and report back to 

management on his feedback a week 

later. 

The real power of the system is 

realized when all the sales team move 

to the new CRM system. This does away 

with manually needing to upload and 

manage entries, and sales reps can 

update their CRM entries from their 

smartphones through a mobile app. 

While the first few weeks are slow, 

the sales manager can all of a sudden 

determine how to improve productivity 

with the sales team. 

Three months later sales increase 

dramatically – the sales manager is 

able to manage results by managing 

sales rep activities through the CRM. 

It has become an integral tool to the 

department, and spurs them to take on 

bigger and better clients and projects. 

Time taken to manage the sales team is 

dramatically reduced. 

Conclusion 

Building a library of say a dozen 

or so of this target customer profiles 

will help to supply the ‘data’ on which 

initial decisions can be made as to their 

attractiveness. Once you know which 

are the most attractive and accessible, 

you’ll have your target! 

Ahmed Al Akber is the Managing Director of ACK Solutions, a firm that helps 

companies to dramatically improve their marketing and sales results by 

offering more effective ways attracting customers and significantly better 

products and services. 

Ahmed has worked internationally in marketing, sales, and strategic 

planning at companies such as The Coca-Cola Company, Philip Morris 

International and Dell. Questions or comments can be sent to Ahmed on 

ahmed@acksolutions.com 


29

iz sector highlights 

Banking & Finance 

Citi is Bank of the Year at Euromoney Awards 2015 

Citi was named “Best Global Bank” for 

2015 by Euromoney, the preeminent 

global financial markets magazine. 

The top award of the evening 

was one of 13 won by Citi, which also 

included the Best Global Emerging 

Market Investment Bank. 

Euromoney said, “Citi is a muchchanged, 

smaller, more focused 

institution. But it still has a truly 

global presence, in both consumer and 

wholesale banking, which competitors 

will struggle ever to replicate. Citi's 

management has taken many of 

the necessary steps to ensure that a 

global universal banking model works. 

Our belief is that its clients, and its 

shareholders, will increasingly see the 

benefits of its unique global franchise.” 

Citi also won a number of regional 

awards, including Best Investment 

Bank in Africa, Best Investment Bank 

in Central and Eastern Europe and Best 

Investment Bank in Latin America. 

Citi CEO Michael Corbat said, “By 

every measure, Citi has become a 

simpler, smaller, safer and stronger 

Citi CEO Mike Corbat (middle) with Bank of the year award 

bank. This award shows that we’re well 

on our way and we have begun to show 

what our firm can do at its best.” 

The Euromoney Awards for 

Excellence are recognized as among 

the most prestigious in the financial 

services industry. 

Below is a list of Citi's Euromoney 

award wins in all regions except for 

Asia. 

• Best Global Bank 

• Best Global Emerging Market 

Investment Bank 

• Best Investment Bank in Africa 

• Best Investment Bank in Central 

Eastern Europe 

• Best Investment Bank in Latin 

America 

• Best Investment Bank in Argentina 

• Best Investment Bank in Peru 

• Best Equity House in Africa 

• Best DCM House in Turkey 

• Best DCM House in Latin America 

• Best Equity House in USA 

• Best Transaction Banking House in 

North America 

• Best M&A House in the Middle East 

Eskan bank mandates SICO to list 

first REIT on the Bahrain Bourse 

Eskan Bank has appointed Securities 

& Investment Company (SICO) as 

lead arranger for the first real estate 

investment trust (REIT) on the Bahrain 

Bourse, and only the second Shariacompliant 

listed REIT in the Gulf region. 

Dr. Khalid Abdulla, General Manager 

of Eskan Bank said, “The initiative 

of listing the REIT will be the first in 

Bahrain by Eskan Bank, where we offer 

a financial instrument that will add to 

the breadth of investment opportunities 

and position the institution as an 

innovative bank spearheading financial 

sophistication and depth. In line with 

our social mandate, this new REIT gives 

Bahrainis the opportunity to share 

in Eskan Bank’s significant property 

development activities, and benefit 

from commercial and residential rental 

income across diversified assets. This 

has been made possible by the proactive 

roles of the Central Bank of Bahrain and 

the Bahrain Bourse. Both are further 

developing the regulations concerning 

investing activities that will lead to 

capital market growth.” 

Ms. Najla M. Al Shirawi, Chief 

Dr. Khalid Abdulla 

General Manager, Eskan Bank 

Executive Officer of SICO said, “We are 

pleased to work with Eskan Bank to 



lead and manage this historic REIT 

listing in Bahrain. The introduction of 

this new alternative investment asset 

class will contribute in adding depth to 

the Kingdom’s real estate sector, while 

helping to improve liquidity on the 

Bahrain Bourse.” 

A listed REIT is a regulated 

investment vehicle that invests directly 

in real estate with its units traded like 

a stock on exchanges. REITs generally 

provide investors with access to real 

estate, a regular and stable income 

stream, diversification, and enhance the 

liquidity of their portfolios. 

New listing rules for REITs issued 

by the Bahrain Bourse (BHB) came into 

effect on 17 May 2015, with requirements 

including a minimum of two properties 

with a combined asset value of no less 

than US$ 20 million. REITs are regulated 

by the Central Bank of Bahrain (CBB), 

and must be authorised by the CBB 

before they can be listed. According to 

CBB regulations, the dividend pay-out 

ratio of a REIT has to be at least 90%of its 

net realised income. 

Eskan Bank’s REIT will consist of 

two income-generating and unleveraged 

properties currently owned by Bahrain 

Property Musharaka Trust (BPMT) which 

was formed in May 2011 in collaboration 

with reputable institutional investors 

and high net worth individuals. The 

REIT properties consist of Segaya Plaza 

and Danaat Al Madina. 

CBB and BIBF to launch Mentorship Program 

The Central bank of Bahrain (CBB) and 

the Bahrain Institute for Banking 

and Finance (BIBF) announced to launch 

a mentorship program for university 

students seeking careers in the banking 

and finance sector. 

This program will officially 

commence in September and 

involves the participation of five local 

universities, namely: University of 

Bahrain, Bahrain Polytechnic, Bangor 

BIBF, Ahliya, and Royal University for 

Women. 

The program will comprise of five 

training workshops conducted by BIBF 

covering a range of topics including 

Communication, Banking, Islamic 

Finance, Insurance and Investment. 

It will also include three mentoring 

sessions per student that will be 

provided by a group of mentors from 

Bahrain's leading Financial Institutions. 

Dr. Huda Al-Maskati Executive 

Director of Corporate Services of CBB 

commented on the event, "Mentorship 

program is to provide the students with 

an opportunity to link their studies with 

experience from the industry. We believe 

that the mentorship program will put 

the students on the right path at a very 

early stage in their careers. The program 

is open to students from both genders as 

we want equal opportunities for all. The 

CBB has always put great importance 

and supported initiatives that develop 

the human capital in the industry." 

"The mentoring program is a direct 

result of a collaborative effort between 

academic institutions and the financial 

industry, a first for the Kingdom. Young, 

driven students are being given a once 

in a lifetime opportunity to learn firsthand 

from the experience of industry 

leaders, while exploring potential career 

paths in a vibrant, growing industry. We 

wish them every success", said BIBF 

Director Solveig Nicklos. 

This mentoring program is part of 

a year-long campaign which includes 

a series of activities including panel 

discussions and town hall sessions 

leading up to the Women in the 

Financial and Banking Conference on 

the 30th of November 2015. 

CrediMax launches MasterCard ‘Cool Your Summer’ 

campaign 

CrediMax launches its successful 

MasterCard ‘Cool Your Summer’ 

campaign this year, which offers 

MasterCard cardholders an opportunity 

to win fabulous prizes worth BD 9,000 

and an Audi Q7 2016. 

“CrediMax always has and will 

continue to take advantage of every 

opportunity available to enhance 

its relationship with its customers 

through new and innovative offers. The 

‘Cool Your Summer' campaign offers 

MasterCard cardholders the opportunity 

to win prizes for every BD50 spent,” said 

the Chief Executive of CrediMax, Mr 

Yousif Ali Mirza. 

“The campaign started on the 15th 

of July and will continue until the 15th 

of September 2015, when most families 

or individuals will be away on holiday. 

That is why they have a bigger chance of 

winning, because for every BD50 spent 


31


abroad, they will get three entries into 

the raffle,” he added. 

“MasterCard is pleased to extend 

its long standing partnership with the 

leading credit card issuer and acquirer 

in the Kingdom of Bahrain, CrediMax, 

to run another edition of the ‘Cool Your 

Summer’ campaign. We value the loyalty 

of our cardholders, and are delighted to 

reward them for making simple, safe and 

secure transactions this summer,” said 

Khaled Abdulkarim, Country Manager – 

Bahrain, MasterCard. 

CrediMax MasterCard cardholders 

are given the opportunity to enter a 

raffle draw every time they spend BD50 

on purchases in the country and triple 

their chances when used abroad. There 

will be 30 lucky winners walking away 

with MasterCard “Cardy” Prepaid Cards 

worth BD 9,000 and one lucky winner 

will drive away in an Audi Q7 2016. 

CIBAFI and the World bank sign deal to foster 

cooperation on Islamic finance 

The General Council for Islamic 

Banks and Financial Institutions 

(CIBAFI), the global umbrella of Islamic 

financial institutions, and the World 

Bank announced the signing of a 

Memorandum of Understanding (MoU) 

that will help foster the development 

of Islamic finance globally and expand 

its use as an effective tool for financing 

development worldwide, including in 

non-Muslim countries. 

The MoU serves as the foundation 

for future cooperation in the areas 

of knowledge generation and 

dissemination; distilling and sharing 

lessons of experience; encouraging 

research and promoting awareness; 

and enhancing capacity in the Islamic 

financial services industry. 

Abayomi Alawode, Head of Islamic 

Finance, Finance & Markets Global 

Practices, World Bank said, "This 

MoU underscores the World Bank's 

commitment to the development of the 

Islamic financial services industry. As 

the industry expands, it will inevitably 

impact the way global finance evolves 

to support real sector economic activity 

and contribute to addressing the 

challenges of ending extreme poverty 

and boosting shared prosperity. We 

look forward to working closely with 

CIBAFI to strengthen the institutional 

foundations of Islamic finance, enhance 

regulatory and supervisory frameworks, 

and share lessons of experience in the 

industry, including sound practices 

relating to business practices, risk 

management and market development." 

Abdelilah Belatik, Secretary 

General of CIBAFI said, "CIBAFI is 

pleased to sign this MoU with the 

World Bank. This partnership will 

strengthen CIBAFI's role as the 

'voice' of the industry and advocate 

for the Islamic financial services 

industry with other international 

organizations, international standardsetting 

organizations and regulatory 

and supervisory authorities as well 

as support its strategic objectives - 

Research and Publications as well as 

Awareness and Information Sharing." 



33

Telecom 

Telecom 

Batelco signs agreement with VKL holdings for fibre 

network at Juffair mall & hotel 

Batelco has recently partnered with 

VKL Holding Group to provide 

end-to-end fibre infrastructure for 

Juffair Mall and Juffair Hotel. Almost 

300 Optical Network Terminations 

(ONT) will enable telephony, wireless 

internet and LAN ports, all on a single 

line connected to every shop at the 

mall and the hotel. The service will 

be a boon for shop tenants and hotel 

management, especially as the Mall 

and hotel are due to open in September. 

Gigabit Passive Optical Network 

(GPON) supports triple-play services, 

high-bandwidth and long reach, 

which delivers many benefits to the 

customer. The reliable fibre-based 

network implemented by Batelco is 

an excellent cost effective choice for 

businesses due to the need for less 

physical equipment and accordingly, 

less maintenance. 

The agreement was signed by 

Batelco A/GM Enterprise Division 

Donya Al Ansari and VKL and Al 

Namal Group Chairman and Managing 

Director Varghese Kurian. 

Mr Kurian said, "we are very happy 

to align our Group with Batelco and 

look forward to their association in the 

development and plans. We welcome 

the new technology applied to this 

mall and hotel. This is introduced by 

Batelco as one-of-a-kind and the first 

in Bahrain. The new Juffair Mall and 

Hotel now stands as an iconic project 

and a leap towards the new future 

technology." 

Mrs. Al Ansari said that Batelco, 

as a leader in the local economy, is 

delighted to take part in yet another 

major project in Bahrain by providing 

premium quality, high-end, reliable 

infrastructure solutions for Juffair Mall 

and Hotel. 

VKL and Al Namal Group selected 

Batelco due to the company's excellent 

reputation when it comes to providing 

one-stop-shop solutions in supplying, 

installing and maintaining quality 

and reliable services for businesses. 

Batelco 's proven track record and 

experience were key factors in this 

project. Furthermore, the ability to 

provide 24/7 support was considered to 

be vital to ensure seamless service at 

all times. 

Batelco deploys Point-of-Presence in datamena 

Batelco has selected datamena, the 

carrier neutral data centre and 

connectivity platform based in the UAE 

and serving the Middle East and Africa 

(MEA) region, to deploy a point-ofpresence 

(PoP). 

Batelco has chosen datamena 

because it acts as a hub where regional 

and international carriers are present, 

which makes it easy to interconnect 

and provide different services. The 

deployment will serve Batelco Bahrain 

and the Batelco Group. 

Batelco Chief Global Business 

Officer Adel Al-Daylami said, “Our new 

PoP guarantees that our customers will 

have access to more options and an 

enhanced portfolio of global services, 

as we intend to offer services like 

International Private Leased Circuit 

(IPLC), Multiprotocol Label Switching 

(MPLS) layer 2 and 3, and Ethernet over 

SDH (EoSDH)." 

Additionally, du Chief Commercial 

Officer Fahad Al Hassawi said, “We 

are delighted to welcome Batelco 

Bahrain into datamena. As the 

leading integrated communications’ 

solutions provider, Batelco will provide 

more options for reliable services to 

datamena customers. On the other 

hand, Batelco will benefit from the 

ecosystem of carriers, content and 

cloud providers to enable new services 

and improve end-user experience.” 

Furthermore, this collaboration will 

also enable Batelco to further develop 

its portfolio of modern and innovative 

solutions such as cloud and managed 


Telecom 

customers with clear and complete 

views of all their data circuits, as well 

as equip them with an easy means to 

request further services," she said. 

Batelco once more reiterates 

its commitment to supporting all 

businesses with their network 

requirements.Batelco is capable of 

facilitating local and global services 

due to its established presence in all 

major areas including the Middle East, 

Europe, the US, Asia and Africa. 

Adel Al-Daylami 

Chief Global Business Officer, Batelco 

services and other data intensive 

services. In line with Batelco’s 

expansion plans, the new PoP allows 

Batelco easy access by facilitating 

further interconnectivity with other 

carriers, thus extending it to Batelco’s 

global network. 

Batelco 

launches 

online portal 

for enterprise 

customers 

Batelco, as part of its commitment 

to empower its customers has 

launched an online portal for the 

enterprise sector. This functionality 

is the latest addition to the already 

established Batelco e-Services, 

which allows corporate customers to 

login to the portal by inputting their 

Commercial Registration (CR) number. 

The portal provides a suite of 

benefits for organisations as it 

allows business users to access 

information regarding their data 

circuits, giving customers full visibility 

on their account status and circuit 

performance; customers can now 

check the billing and activity status 

of all their circuits by simply entering 

their tag numbers. The portal also 

provides users with rapid support 

services such as instant order tracking, 

upgrade requests, and quotation 

applications. 

To support business customers 

further, Batelco has introduced a 

dedicated Live Chat line for Enterprise 

Support, which is also accessible 

via the e-Services portal. Specialists 

from the Batelco Service Management 

Centre (SMC) will be available on-hand 

to chat with and support business 

customers. 

Additionally, the upgraded 

e-Services gateway includes 

enhanced reporting on faults for 

data connectivity services, as well 

as a complaint management system 

which allows users to raise complaints 

online. Customers will receive a 

confirmation email, as well as a 

reference number, upon submitting any 

type of request or complaint. Corporate 

customers can also make use of a 

direct link to Batelco 's secure service 

monitoring portal, NetView, where 

they can view complete information 

on the utilisation, performance, and 

availability of network links. 

Batelco launches this portal with 

the aim of empowering and supporting 

its data and connectivity business 

customers further. On this occasion, 

Batelco 's Enterprise Division A/ 

General Manager Donya Al-Ansari 

stressed that Batelco places customer 

satisfaction and empowerment at the 

core of its business. 

"The portal will provide our 

Batelco is also a leader in the ICT 

market, having an extended portfolio 

of products including Telephony, 

Data Networking, Physical and 

Virtual Security and Cloud Solutions. 

Batelco 's strategic partnerships and 

Joint Ventures (JVs), as well as their 

continuous enhancement of their 

support services, has enabled them 

to secure a multitude of projects 

connecting local and multi-national 

organisations in disparate locations 

across the globe. 

Zain Bahrain’s 

FUN program 

welcomes 

summer 

trainees & new 

batch of FUN 

members 

Zain Bahrain kicked off its 2015 

Summer Training Program under 

its Future University Network (F.U.N) 

initiative. 


35

Telecom 

The unique training program 

provides university undergraduates the 

opportunity to gain valuable and real-life 

workplace experience through different 

specialized human development 

programs. 

Based on their area of studies, the 

summer trainees were joined by 18 

FUN members and introduced to this 

year’s development sessions which 

focused on Lateral Thinking, Customer 

Retention, Time Management, Emotional 

Intelligence and Social Media for Youth. 

The aim of the FUN program is 

to provide students with a rewarding 

experience and preparing them to enter 

the job market. 

During the summer internship, 

the trainees will have the opportunity 

to work on a CSSR initiative that will 

positively impact the society as well as 

meeting business requirements. 

The program gives university 

students the opportunity to nurture their 

corporate skills under the guidance 

of Zain experts, who prepare them for 

the job market and its challenges. The 

youth development program is focused 

on feeding the minds of students and 

sculpting their professional skills 

through teamwork, collaboration, 

training and practical field work. It 

also provides them the opportunity to 

develop projects and develop innovative 

business ideas and test them against the 

real world. 

University students can register to 

the FUN Summer Training Session for 

free by submitting their contact details 

to CSR@bh.zain.com 

VIVA introduces 

special roaming 

package for 

Umrah 

VIVA introduced a special 

promotional roaming package for 

customers who are traveling to the 

Kingdom of Saudi Arabia (KSA) during 

this season. The BD 15 package allows 

VIVA subscribers to stay connected 

with their family and friends while on 

their spiritual journey and experience 

unlimited data, free minutes for calls 

and SMS. 

The special promotion offers VIVA 

customers the convenience to use their 

Bahrain number in KSA without the 

hassle of acquiring a local SIM card, 

and includes unlimited data access, 50 

minutes of outgoing calls to Bahrain 

and/or KSA, 50 minutes of incoming 

calls and 50 additional text messages. 

This offer is available for both 

prepaid and postpaid customers, with 

the validity of 7 days. To avail this 

service, VIVA customers can SMS ‘ON’ 

to 98865 or dial *98865#. The promotion 

shall last till September end. 

Kalaam 

Telecom 

partners 

with Fakhro 

Restaurants 

alaam Telecom partners with 

KFakhro Restaurants to provide 

free wireless Internet access at 14 

McDonald’s restaurants across the 

island. 

Ahmad Jaser, General Manager 

at Fakhro Restaurants, the owners 

of the international franchise stated, 

"Customers come to McDonald’s 

for great food in a comfortable 

environment. At McDonald’s, we make 

sure customers have exactly what 

they need: great food, a family-friendly 

atmosphere, a play place for children, 

and, now, free wifi connectivity to 

provide even more convenience 

when using their digital devices with 

family and friends. We chose Kalaam 

Telecom, as our technology partner 

– as they have been a long-standing 

telecommunications partner for us and 

our other associate companies within 

the group with a proven-track record in 

reliability and expertise.” 

Ahmad Jaser, General Manager, 

Fakhro Restaurants (left) & 

Veer Passi, Chief Executive Officer, 

Kalaam Telecom 

Veer Passi, Chief Executive Officer, 

Kalaam Telecom said, "We are proud 

to be solution providers for Fakhro 

Restaurants’ convenience-based 

decision to provide free wifi to their 

customers at McDonald’s. Our solution 

architecture mapped out a customized 

managed solution that enables branch 

to branch connectivity and easy wifi 

connectivity to McDonald’s customers.” 



37

Real Estate 

Real Estate 

Diyar Al Muharraq signs deal to develop private School 

Diyar Al Muharraq, signed a land sale 

agreement recently with Medad 

Real Estate Company, part of the Kooheji 

group of companies in Bahrain, for the 

purpose of developing Al Safwa Private 

School within its premises. 

The school will be constructed by 

Kooheji Contractors on a total land 

area of 30,000 square meters and a 

3000 square meters built up area over 3 

floors, located opposite the Diyar Homes 

neighborhood close to the main entrance 

of Diyar Al Muharraq. It will be the first 

school in the new Al Safwa Group of 

schools and it will be operated by Al 

Safwa in cooperation with the Swedish 

school operators, KEDTECH, and will 

be a K12 school catering to handle 3000 

Bahrainis as well as expat students. 

The school will provide a curriculum 

that combines the highest international 

standards and languages, as provided 

in the Cambridge International 

Examinations, with Arabic language 

and literature and a social anchorage 

in Bahraini culture and values. This 

combination of Global and local 

education, will establish the school 

as the first truly “GLOCAL” school in 

Bahrain. 

Dr. Maher Al Shaer, Chief Executive 

Officer of Diyar Al Muharraq said, 

"Education is a top priority for us. 

Having succeeded in attracting highly 

reputed international schools to our 

project, we are moving even closer to 

attaining our prime objective for Diyar 

Al Muharraq, to be a fully integrated 

modern city with all facilities provided 

whether for residential, educational , 

commercial or entertainment purposes." 

Commenting on the agreement, 

Ms. Vivian Jamal, Executive Director – 

Business Development at the EDB said, 

“Bahrain enjoys a prosperous education 

sector with developed public education 

and high-level training programs, in 

addition to a number of private schools 

that offer excellent curriculums from 

all over the world. Supplementing the 

sector with more specialized schools 

will no doubt contribute to raising 

efficiency and will provide high-quality 

education to the largest possible number 

of students.” 

From his side Mr. Abdul Ghaffar Al 

Kooheji, Chairman of Medad Real Estate 

and founder of Kooheji Contractors said, 

“For us schools and education of the next 

generation has been a strong interest. 

We consider Diyar Al Muharraq as a 

natural location for a school intending 

to set a new standard for Bahraini 

education with its unique offerings 

on par with the highest international 

standards, and in compliance with 

Internationally accredited curriculums 

such as the Cambridge Board covering a 

comprehensive list of subjects such as 

Arabic and foreign languages, Science, 

History, Arts and Islamic studies, to 

fulfill the needs of the Bahraini society.” 

Elaborating further, Mr. Odd Eiken, 

Chief Executive Officer of KEDTECH, 

an international school operator and 

curriculum developer from Sweden 

said, “We operate 50 schools with more 

than 15,000 students all our activities 

are based on the conviction that 21st 

century schools should extensively use 

modern technology and they should 

provide both the highest international 

standards and a strong anchorage in 

local language, culture and values. We 

are very excited about the agreement we 

signed to operating the school and we 

look forward to put in our best resources 

to create a state of art school for Bahrain 

and to become a role model for the 

region.” 

Construction of the already designed 

school will start in August 2015 and the 

school is due to start its operation in 

September 2016. 

Naseej sells 85% 

of “Yasmeenat 

Saar” homes 

Naseej BSC (c) announced that it has 

sold over 85% of the villas in its 

Yasmeenat Saar Project. The project is a 

residential development consisting of 27 

well-appointed villas situated in a prime 

location opposite the newly opened Saar 

Mall. 

Speaking about this milestone, 

Mr Khalid Abdulla-Janahi, Naseej’s 

Chairman revealed that the Company 


Real Estate 

has successfully sold over 85% of the 

units in "Yasmeenat Saar", which 

are targeted for the higher end of the 

medium-income bracket of buyers 

consisting of Bahrainis and GCC 

nationals. He also mentioned that the 

luxurious 3, 4, 5 bedroom villas have 

been designed to meet today’s modern 

day living preferences and built as high 

quality homes. The project enjoys easy 

access from the main Sheikh Khalifa 

Bin Salman Highway where it is located 

opposite to Saar Mall. The project 

is also strategically situated among 

several retail, commercial and services 

amenities within the area." 

Speaking about the project’s 

operational aspects, Naseej’s Managing 

Director Mr Mohamed Khalil Alsayed 

said, " Yasmeenat Saar is valued at 

BD 6 million, with a project overall 

size of 17,000 square meters. Villas 

are priced at a range of BD199,000 to 

BD320,000 depending on the number 

of bedrooms, built-up and land sizes. 

Naseej appointed the main contractor 

Dar Al Khaleej Contracting Company to 

construct the villas which are scheduled 

for completion by the end of 2016. Naseej 

had appointed the design & supervision 

consultant Mohammed Salahuddin 

Consulting Engineering Bureau (MSCEB) 

to carry out the design and supervision 

aspects of the project." 

Bahrain Cinema company invests $6.5 million in a 

new 6 screen cineplex in Wadi Al Sail mall 

Bahrain Cinema Company (Cineco) 

signed a major corporate deal with 

the Wadi Al Sail Mall in Riffa that entails 

the leasing of space in the Mall for the 

setting up of a new 6 screen Cineplex and 

a branch of Rendezvous Restaurant. 

Construction work for the project 

has already started and once all civil 

works are completed, Cineco will then 

proceed with all the necessary fittings 

for the Cineplex followed by the same 

for Rendezvous. The target date for the 

completion of all works is mid-March 

2016. 

The initiative for the new Cineplex 

comes as part of Cineco's expansion 

plans in Bahrain and it substantially 

increases the number of its screens 

that are already showing movies in the 

Kingdom. The total value of Cineco's 

investment in this project is $6.5 million 

and it further consolidates the company's 

current position as leaders in the 

entertainment industry in Bahrain. 

Mr. Ahmed Rashed, C.E.O of Cineco 

said, " Introduction of the new Cineplex 

in Wadi Al Sail Mall in Riffa is our step 

towards constantly furthering our growth 

include the exponential introduction of a 

nation-wide network of multiplexes, that 

will boast the screening of quality movies 

of international acclaim using the most 

advanced technology that is currently 

available in the entertainment industry." 

"The decision to introduce the new 

Cineplex in Wadi Al Sail Mall was based 

on strategic elements as its location 

in Riffa makes it well placed to cater 

to the movie goers from both Riffa 

and its surrounding areas. We look 

forward to bringing our high quality 

movie screenings closer to our valuable 

customers and to offering them the 

globally top rated and most popular 

films," he added. 

The new Cineplex will have the 

impressive capacity of 809 seats 

and will encompass the latest in 

technological advancements in the global 

entertainment industry. 


39

Real Estate 

Explore, Build & Win at City Centre Bahrain, this 

summer! 

City bricks for older kids. Building 

instructions will also be made available 

for LEGO fans to help them build 

awesome models such as a City police 

car, truck, or helicopter. Children who 

successfully build a LEGO City model 

will be rewarded with a ‘Junior Master 

Builder’ diploma as a memento of the 

day. 

City Centre Bahrain, the largest 

shopping, leisure and entertainment 

destination in Bahrain, started a family 

entertainment-packed summer program 

of interactive amusements - featuring 

a fantastic LEGO® City Building Event. 

The mall is also celebrating ‘City Centre’ 

brand’s 20th anniversary with fun 

activities to keep residents and tourists 

entertained throughout the summer 

holidays. 

Visitors to City Centre Bahrain 

are able to enjoy playing with the 

ever popular LEGO® bricks a first 

for Bahrain, in a ‘LEGO® City Event’. 

The Central Galleria is transformed 

to offer a larger than life LEGO® City 

experience, including a building activity 

area to encourage kids to unleash their 

creativity, along with engaging activities 

at the LEGO City fire station, police 

station, park, and the charity station. 

“As part of Majid Al Futtaim’s vision 

to create great moments for everyone, 

everyday, City Centre Bahrain is rolling 

out an action and fun-packed summer 

for all families in the Kingdom. We are 

proud to present a first in Bahrain, the 

LEGO® City Event , which illustrates our 

continuous initiatives to innovate and 

enhance our visitors’ experience,” said 

Duaij Khalifa Al Rumaihi, Senior Mall 

Manager for City Centre Bahrain. 

Children will be able to immerse 

themselves into a LEGO City®. A 

DUPLO® area will be available for 

kids under five years old, and LEGO® 

Kids between the age of 6 to 12 years 

will have an opportunity to enter the 

‘Unbox their imagination’ competition, 

by constructing an inventive LEGO® 

model for submission to win prizes, 

These will also be displayed in the 

gallery within the LEGO City Event, for 

all to see and admire. 

Last but not the least, on August 20, 

City Centre Bahrain will be marking 

the double-decade anniversary of the 

‘City Centre’ brand, throughout the 

shopping center. Kids will have to keep 

a lookout for the charismatic roaming 

LEGO® mascot, whom will be creating 

great moments & rewarding families 

with gifts to take home to mark the 20th 

anniversary. Visitors can also take a 

photo at the LEGO® City Event and share 

it on Instagram for a chance to win BD50 

in gift cards. 

With schools on break, families 

can make the most of their free time 

by shopping at City Centre Bahrain, to 

become amongst the lucky winners 

this summer. For every spend of BD40, 

shoppers will be entered into a draw for 

a chance to win 1 of 4 BD2,000 in Gift 

Cards every week. In addition, shoppers 

who spend BD50 or more will instantly 

get to choose one of the mystery LEGO® 

toy packs – with lots to be collected. 


Real Estate 


41

Technology 

Technology 

Control4 wins 4 Global Awards 

Middle East Computer Services 

(MECOS), a division of Al Safar 

Group and the authorized dealer for 

Control4 (USA), announced that Control4 

has been recognized as the Top Whole- 

House Automation Brand in a survey 

of the Nation’s (USA) leading Custom 

Electronic Integrators. The 2015 CE PRO 

brand analysis also reports Control4 as 

the leading brand in multiple categories 

for smart home solutions. 

The winning companies and brands 

of "CE Pro 100 Awards 2015" were chosen 

by a panel of industry leaders along with 

the editors of CE Pro magazine. They 

were selected based on a set of criteria 

including innovation, functionality, 

competitive advantages and benefits to 

the end-user. 

Control4 won the awards for multiroom 

audio, whole-house automation, 

energy smart grid management and 

security access control. 

On this occasion, Mr. Adel Al Safar, 

Chairman of MECOS, said “We are very 

pleased with this great accomplishment 

by the Control4 brand, and we are proud 

to offer its wide variety of products to 

our customers in Bahrain. This is a 

unique achievement and it will definitely 

contribute to realizing further the value 

of this technology." 

"Control4 offers high quality 

products to our residential and business 

customers; it provides an exclusive 

experience to the end-user with one of 

the most advanced audio-video system 

at an economically priced smart home 

and commercial solutions." 

"Recognizing Control4 as the top 

whole-house automation brand reaffirms 

its quality of products and services in 

smart home solutions. With technology 

becoming an essential part of our daily 

life, this industry is witnessing an 

increasing demand from customers 

internationally," he concluded. 

Middle East Computer Service 

(MECOS) is a systems integrator which 

mainly provides Home and Commercial 

Automation Systems and Security 

Solutions in the Kingdom of Bahrain. It 

Adel Al Safar 

Chairman, MECOS 

also provides network video solutions 

and expertise in Digital, IP & Network 

Video and Analogue CCTV. Some of its 

latest range of products includes mobile 

indoor and outdoor cameras as well as 

standalone mobile NVRs (network video 

recorders). 

Middle East Insurers tap cloud analytics for fast, 

affordable fraud prevention 

Insurance fraud and claims leakage 

are a concerning issue for all insurers 

globally including those in the Middle 

East. PwC’s (PricewaterhouseCoopers) 

2014 Middle East Economic Crime 

Survey revealed that only 5% of frauds 

were detected by internal audit, with 

22% detected by tip-offs and 16% 

now detected by chance, indicating 

a widespread lack of effective fraud 

detection methods in the region. 

To provide fraud analytics more 

quickly and affordably, SAS is now 

offering SAS® Fraud Framework for 


Technology 

Insurance via the cloud to insurance 

companies in the Middle East. This new 

option not only increases investigator 

efficiency and lowers cost of ownership, 

but does it securely on the SAS Cloud as 

a software-as-a-service (SaaS) offering. 

“With over 50 years’ of experience 

in the Insurance Fraud sector, we at SAS 

helped develop fraud solutions for a 

number of organizations ranging from 

Motor, Home, Health Insurance including 

Workers’ Compensation among others. 

“The exact rates of claims fraud, 

waste and abuse are difficult to 

determine but recent figures from 

regional industry and regulatory bodies 

suggests that ‘figures allude to the 

notion that as much as 10% of claims 

are fraudulent and as little as 20% of 

these are detected’, and global figures 

range from 5% to 15%,” said Ebru Jouzy, 

Fraud and AML (Anti Money Laundering) 

expert, Middle East and Turkey at SAS. 

SAS Fraud Framework for Insurance 

Mindware bolsters its ERP on a cloud and 

marketplace based application with 3i-Infotech’s 

Orion 11j 

Mindware, adopts 3i Infotech’s 

ORION 11j product as its ERP 

solutions for their Cloud based 

application. This agreement holds 

significant importance, as it is 3i 

Infotech’s first ERP implementation to be 

adopted on a Cloud based platform. 

helps more accurately detect potentially 

fraudulent activity with the solution 

being flexible if any new rules need to 

be added as new fraud types evolve. The 

pre-built fraud analytical models are 

enabled companies to implement the 

solution in weeks instead of months. 

Powered by SAS’ advanced fraud 

analytics engine, SAS Fraud Framework 

for Insurance uses multiple analytics 

techniques: business rules, anomaly 

detection, predictive modeling, database 

searches and link analysis. The solution 

enables insurers to uncover more 

suspicious activity than traditional 

manual methods of detection. 

“Combating claims fraud is difficult 

and costly for insurers but not for 

organized crime rings, which find 

insurance fraud to be a low-risk, highreturn 

enterprise. With this in mind, it 

is important for insurance companies to 

have a defense mechanism that helps 

them to manage, detect and predict 

potentially suspicious claims before 

further losses are incurred.” added 

Jouzy. 

Analysts across industries point to a 

continued shift of IT budgets away from 

in-house installations to cloud-based 

delivery models. CEB TowerGroup USA 

research shows that 59% of insurance 

firms expect increased spending on 

cloud solutions technology over the next 

few years. 

Meanwhile, recognizing the 

importance of tackling claims fraud, 

US-based Grange Insurance that 

offers auto, home, life and business 

insurance protection to its policyholders 

wanted to implement a solution 

quickly. In opting for a cloud-based 

fraud detection solution, Grange was 

able to make SAS Fraud Framework 

for Insurance available in weeks. In 

addition, companies also prefer onsite 

installations due to their internal 

policies and SAS provides the best-fit 

on-site and cloud solution options for its 

customers. 

Commenting on this recent 

collaboration, Ashish Dass, President- 

EMEA at 3i Infotech said, “We are 

delighted to join hands with Mindware, 

as they opt to strengthen their ERP 

strategy through the implementation of 

3i Infotech’s Orion 11j. This engagement 

is particularly exciting to us because 

this will be a cloud-based model where 

Mindware will make the maximum use 

of the cloud technology, both internally 

to its stakeholders and externally to its 

vendors and customers by deploying the 

Orion marketplace function on the cloud. 

A leading IT company like Mindware 

choosing this model of deployment, 

shows the region’s high acceptance and 

adoption rate of the trending advanced 

global technologies in streamlining 

processes and increasing productivity 

by using core systems on the cloud. 

We are pleased to meet the demand 

of a cloud based ERP structure and 

have Mindware join the long list of our 

satisfied customers”. 


43

Technology 

Babak Kobari, Vice President- MEA 

at 3i Infotech also added, “Orion11J ERP 

on Cloud would enable Mindware to get a 

complete visibility of their business with 

state of the art Workflow Management 

coupled along with an inbuilt CPM in 

one application. With this unified view 

of business, we expect our client to 

considerably reduce operational time/ 

costs and time to market. The entire 

suite of Orion 11J products is accessible 

over the Internet, which gives you the 

freedom to access information from any 

part of the globe at the click of a button, 

whether from a laptop or a Mobile.” 

The latest product release Orion 11j 

uses the new Java based application 

J2EE, armed with a web based set up, 

making it a potent and scalable multitier 

architecture structure. Covering the 

workflow, document flow and data flow 

of the organization in collaboration with 

Orion 11J EPM (enterprise Performance 

management) are fabricated with a true 

Cloud-based architecture providing 

options for Mindware on both Private 

and Public cloud platform adding 

flexibilities and enhancing their 

operational efficiencies. 

As one of the top 10 IT Distribution 

Companies in the Middle East, Mindware 

offers quality IT products to its 

customers with a commitment that is 

unrivalled. Mindware has an extensive 

portfolio including leading global brands 

such as Apple, Microsoft, Intel, Cisco and 

many others reaching out to over 2,500 

resellers throughout the MENA region. 

Mindware’s one stop technology advisor 

for resellers and system integrators 

consists of Certified Engineers and Pre- 

Sales Consultants providing a variety of 

value- added services which facilitates 

the reach and penetration into specific 

segment of the markets and helps 

develop their business. 

Absolute communications ramps up expansion 

strategy with 3A worldwide 

International corporate 

communications firm Absolute 

Communications has forged a strategic 

partnership with 3A Worldwide, 

an international communications 

consultancy, in their bid to widen their 

international network, strengthen their 

business platform, and grow in their 

ability to serve more clients on the 

global sphere. 

Victor King, CEO of Absolute 

Communications says, “As a 

fast-growing agency, Absolute 

Communications has been on a lookout 

for a network which can add value to 

what we do, believe in and in return, 

enable the network members to be 

able to reach out to their clients with 

confidence when it comes to their 

executions in the Middle East and 

India. This partnership will enable 

both 3A Worldwide and Absolute 

Communications – to showcase 

ourselves as an agency with a global 

reach and local expertise. With great 

partnerships comes great success!” 

For his part, Miguel Ángel Rodriguez 

Caveda, 3A Worldwide’s Global COO and 

President of Europe, Middle East and 

India, says, "This association is another 

Victor King 

CEO, Absolute Communications 

step towards the consolidation of the 

multinational internationally, something 

very positive not only for us but for all 

our customers, who will be able to reach 

new markets through this partnership. 

We are a group with the ability to offer 

services globally with incredible ways to 

strengthen our position in Europe and in 

the whole world." 

3A Worldwide has recently been 

awarded the Bronze Stevie Award and 

has been ranked as South Florida’s 

second-fastest growing company by the 

South Florida Business Journal. 

"The fast expansion of our business 

has allowed us to cross borders in a 

real and effective way, becoming the 

main bridge of communication for our 

customers to Latin America in particular, 

and to other international markets in 

general. Having partnered with Absolute 

Communications in the Middle East and 

India, we believe that we have achieved 

a major milestone enabling us to offer 

our services to our clients in two of the 

most important and fastest growing 

economies in the world." affirmed 

Edward de Valle II, President of the 

Multinational at 3A Worldwide. 

Both companies expect to continue 

to expand their business horizons and 

audience reach as their newly-formed 

affiliation promises better opportunities 

for growth and success in the corporate 

communications field. 



45

Government 

Government 

Bahrain’s non-oil economy reaches 5% growth 

Bahrain’s non-oil growth came in 

noticeably above projections in the 

first quarter of 2015 according to the 

latest Economic Quarterly (BEQ) issued 

by the Economic Development Board 

(EDB). The report also highlighted broadbased 

real GDP growth of 2.9% on an 

annual basis, and strong labour market 

activity, with employment increasing 

by 5.0% compared with the same period 

last year. 

unemployment rate was also reported in 

the first quarter of 2015, reaching 3.5% in 

March – a level last seen during Q3 2012. 

In spite of oil price volatility in the 

second half of last year, the country’s 

fiscal performance also improved. The 

report found that according to the 2014 

consolidated final accounts, government 

revenues rose by 11% in 2014, and 

expenditures declined by 11%. 

The report found that growth in the 

non-oil economy, which constitutes 

more than 80% of Bahrain’s GDP, 

saw strong growth in a number of 

sectors, reaching 5.0%. The social and 

personal services sector grew by 8.3% 

year-on-year, overtaking the hotels 

and restaurants sector as the fastestgrowing 

sector. The social and personal 

services sector is primarily made up of 

private sector healthcare and education 

activities. The manufacturing sector also 

saw 5.9% year-on-year growth. 

Despite global economic challenges, 

the report finds that forward-looking 

indicators point to a high degree of 

continuity in the regional non-oil 

economy, reflecting the strength of 

key structural growth drivers and the 

commitment of regional governments 

and investors to long-term projects. 

Strong growth of 7.5% year on 

year was reported in the construction 

Mr. Khalid Al Rumaihi 

Chief Executive 

Economic Development Board 

sector, which is in line with the sector’s 

momentum that became apparent in 

the second half of last year and reflects 

continued infrastructure activity. Growth 

in the transport and communications 

sector followed closely with a 7.3% year 

on year expansion. 

The report also found that 

infrastructure activity had a marked 

effect on the labour market. The increase 

in total employment occurred at its 

quickest pace since Q2 2013, and was 

driven by the private sector, which 

represented 89% of the annual growth in 

total job creation during Q1. A fall in the 

Mr. Khalid Al Rumaihi, Chief 

Executive of the EDB said, “The report 

highlights the strong performance of 

Bahrain’s non-oil sector, with growth 

coming in above our projections. This 

reflects Bahrain’s diversification efforts 

over the past decade and the general 

resilience of the GCC economies at a 

time of doubts about the global recovery. 

Even as Bahrain’s hydrocarbons sector 

experiences a decline due to seasonal 

maintenance, headline real GDP 

expanded by 2.9% and we continue to 

project robust growth throughout 2015 

and 2016.“ 

Bahrain is set to invest over US$22 

billion in key infrastructure projects over 

the coming years, which aims to spur 

public and private sector participation 

across the manufacturing, energy, 

healthcare and education sectors. This 

includes a commitment to build 25,000 

housing units over the coming four-year 

period. 

New smart ticketing launched for Bahrain’s public 

transport 

Bahrain Public Transport Company 

(BPTC), the new operators of the 

Kingdom’s modern, fully revamped 

public bus service, have introduced the 

GO Card, a pre-paid, re-usable smart card 

that facilitates flexible, convenient and 

faster travel for public transport users. 

The new cards were launched to the 

public during a 5-day campaign held at 

Bab Al Bahrain and BPTC was available 

to demonstrate its proper use and 

answer questions on the new routes and 

destinations added to the network. 

The GO Card is the first smart 

ticketing system to be introduced in 

Bahrain and one in a series of new 

products and services to be gradually 

added to the new bus network in line 

with the Ministry of Transportation and 

Telecommunications’ (MTT) efforts to 

upgrade and enhance Bahrain’s public 

transport system. 


Government 

GO Cards provide passengers with 

a re-usable top-up alternative to paper 

tickets and can be used on any route 

across the bus network. GO Cards are 

charged for the zones crossed in any 

complete one-way journey including 

connections between buses and offer 

a cheaper travel option to purchasing 

tickets for individual routes. 

Go Cards are available as one-day 

passes or can store cash credit and 

can be used as per passenger needs 

and convenience. GO Cards need to be 

Checked In at the start of each journey 

and Checked Out before exiting the bus 

using the special machines available on 

all buses. 

There is an initial fee of 500Fils 

when first purchasing a GO Card and it 

can then be reloaded with any amount of 

credit up to a maximum of BD50. Credit 

is available from all bus drivers and 

cards can also be reloaded at all main 

bus terminals using the ticket vending 

machines or at the manned ticket 

offices. Special reloading machines will 

soon be available on every bus soon to 

enable top up of credit using cash notes. 

GO Cards are widely obtainable and 

can be purchased from the bus drivers 

or the Ticket Vending Machines at the 

main bus terminals in Manama, Isa 

Town and Muharraq 

The launch of the GO Card coincides 

with the full implementation of the 

new Public Transport Network on 

August 1st where a total 32 routes and 

new destinations are serviced by 141 

brand new state-of-the-art vehicles, 

bringing network coverage to over 

77% of the Kingdom’s inhabited areas. 

The new service has been designed to 

significantly improve passenger travel 

experience and cater to the requirements 

of all sections of society. 

BD 10 million added to joint Tamkeen-Ithmaar bank 

finance scheme portfolio 

As part of their joint efforts to 

provide financing solutions to 

help enterprises meet their needs 

and achieve their business objectives, 

Tamkeen and Ithmaar Bank signed 

an agreement to add BD10 million to 

their joint enterprise finance scheme 

portfolio. 

Commenting on the agreement, 

Tamkeen Chairman and Acting CEO H.E 

Shaikh Mohammed bin Isa Al Khalifa 

said, "Through its various programmes, 

Tamkeen seeks to help enterprises 

achieve their developmental goals and 

provide them with opportunities for 

expansion and growth. This includes 

financing solutions that make it easier 

for these enterprises to succeed in their 

ventures and projects. To achieve this, 

Tamkeen cooperates with partners 

sharing the same objectives, amongst 

which is Ithmaar Bank, one of leading 

financing institutions in the kingdom." 

Ithmaar Bank CEO Ahmed Abdul 

Rahim said, "We are pleased to 

participate in this Bahrain Government 

initiative together with Tamkeen to 

help enterprises realise their strategic 

objectives. The enterprise finance 

scheme will provide the foundation 

and engine for growth of business 

and the economy. This is part of the 

bank's efforts to open new prospects 

for enterprise to achieve sustainability 

and growth, diversify their businesses, 

expand their customer bases, and build a 

solid foundation for future development." 

With the signing of this agreement, 

the total financing offered through 

Tamkeen's Finance scheme in 

cooperation with partner banks 

reached BD372.5 million. More than 

6,000 enterprises benefited from the 

programme to date. 

For more information about the 

scheme and how to benefit from it, 

contact support@Tamkeen.bh, or visit 

any Tamkeen or Ithmaar Bank branches 

available across the kingdom. 


47

Government 

BCCI to host Startup Bootcamp 

CEO of Bahrain Chamber of Commerce 

& Industry Nabeel Al Mahmood has 

announced that the SMEs Development 

& Support Centre of the Chamber has 

started receiving applications for its 

forthcoming event (Startup Bootcamp), 

which is to be held from 1st September 

to 31st October 2015 at the Chamber’s 

premises. 

Revealing details about the 

program, Al Mahmood said, "This is 

a comprehensive program that takes 

participants in a journey that starts with 

training them and aiding them with 

the necessary knowledge and skills, 

to helping them obtain commercial 

registrations (CRs) and funding, and 

eventually launching their actual 

businesses." 

Nabeel-Mahmood 

CEO, Bahrain Chamber of 

Commerce & Industry 

Elaborating on the same, Al 

Mahmood added, "Following the success 

of the program in its first edition last 

year, in this second edition, the program 

will also seek to attract college alumni 

and entrepreneurs from the Information 

and Communication Technology (ICT) 

specialization, in a bid to extend the 

opportunity for participants who missed 

the first edition, and meet the demand 

for programs in this promising field." 

With regards to enrollment 

procedures, interested college alumni 

and entrepreneurs can submit 

their applications and provide their 

information electronically via the 

center’s website. 

38 percent progress in the pumping and lifting 

stations urgent works 

The Ministry of Works, Municipalities 

& Urban Planning Assistant Under- 

Secretary for Sanitary revealed that the 

Ministry has achieved 38% progress 

in the urgent works for the supply of 

pumping and lifting stations. 

The project is part of the Ministry’s 

plan aiming to reduce sewerage 

networks defects. Works involved 

in the project consist of surveying 

71 lifting and pumping stations, 

supplying and replacing some pumps 

and control panels and carrying 

out some improvements related to 

electromechanical works. 

Lifting pumps for 64 stations have 

been purchased, and work is underway 

to replace 37 control panels with new 

ones and fix 33 other control panels. 

Also, stations locations have already 

been examined. The Under – secretary 

stated that 11 stations have been 

supplied and installed; A2F in Block 

325 in Al Fadhel Area, A2H in Block 303 

in Abu Seera Area, A5J in Block 339 in 

Umm Al Hassam, B17 in Block 233 in 

Dair, C5B in Block 368 in Janabiya, E2E 

in Block 1032 in Malkiya, E2F in Block 

1032 also in Malkiya, E8E in Block 840 in 

Isa Town, E11D in Block 910 in West Riffa, 

G8 in Block 604 in Quraya and X01A in 

Block 1001 in Jasra. 

Tests revealed that all stations 

are operating well. Currently, pumps 

are being installed in C4C station 

located in Block 404 in Sanabis. The 

BD1,297,650.000 project commenced in 

October last year and was awarded to 

Zohal Constructions. 



49

Other Business 


BAC and nogaholding appoints main consultant on 

new fuel farm complex at BIA 

In line with the directives of HRH Prime 

Minister Prince Khalifa bin Salman 

Al Khalifa to relocate the aviation 

fuel tanks away from the residential 

areas in Arad to a new complex at 

Bahrain International Airport (BIA), 

Bahrain Airport Company (BAC) and 

The Oil and Gas Holding Company 

BSC (nogaholding) have entered into 

a Consultancy Services Agreement 

with global engineering management 

and development specialists, Mott 

MacDonald for the provision of holistic 

design and management services for 

the new Fuel Farm Complex and Fuel 

Hydrant. 

The BD1.4 million agreement was 

signed by all related parties in the 

presence of Shaikh Mohamed bin 

Khalifa bin Ahmed Al Khalifa, Chief 

Executive of nogaholding, Mr. Mohamed 

Yousif Al Binfalah, CEO of BAC and 

Mr. Albert Allan, Managing Director, 

Oil Gas & Petrochemical Unit, at Mott 

MacDonald Limited. 

Shaikh Mohamed said, "The 

appointment of leading experts Mott 

MacDonald as the main consultants on 

the new Fuel Farm Complex, supports 

the vision of HRH the Prime Minister 

and echoes the commitment of both 

nogaholding and BAC to deliver this 

ambitious national venture within the 

defined timeframe and with the highest 

quality of standards and result in 

superior services for the entire airport 

community." 

Awarding of this contract follows on 

from the MoU signed between BAC and 

nogaholding earlier this year to establish 

a national joint venture company 

responsible for the overall management 

and operation of the fueling complex at 

Bahrain International Airport. 

Mr. Yousif said, "Assigning the first 

consultants on the Fuel Farm Complex 

within a few months of signing the MoU 

stands testament to the efforts exerted 

by BAC and nogaholding to fast-track 

this project and ensure transfer of the 

fuel farm into a state-of-the-art facility 

at BIA within the stated period of 24 to 

30 months." 

BAC is the authority responsible 

for enhancing BIA and increasing 

the airport's contribution to the 

local economy in line with Bahrain's 

Economic Vision. 

Alba 

strengthens 

business ties 

with Asian 

customers 

A 

ttuned to get closer to its customers 

around the globe, Aluminium 

Bahrain B.S.C. (Alba), has had official 

delegation visiting some of its key 



customers in Asia and Pacific Region. 

The delegation comprised of Alba’s 

Chief Executive Officer, Tim Murray, 

along with the Acting Chief Marketing 

Officer, Khalid A. Latif, Sales Manager 

of Asia & Pacific, Yogesh Kumar, and 

Sales Officer of Alba’s Hong Kong Office, 

Enoch Kwok. This visit aimed to improve 

customer satisfaction, give more 

insights on Line 6 Expansion Project 

as well as expand Alba’s customer base 

across Asia. 

In addition, Alba took part in 

Aluminium China 2015 at the Shanghai 

New International Expo Centre in China. 

Held every year, this conference is 

considered as one of Asia’s top trading, 

sourcing and networking platform for 

the full aluminium industry chain. 

On this occasion, Alba’s Chief 

Executive Officer, Tim Murray said, "Alba 

is keen to enhance its presence in the 

global aluminium market and one of 

the key regions is Asia and Pacific. Our 

participation in Aluminium China 2015 

represents an ideal platform to network 

with our existing partners and forge 

business relationships with potential 

ones. 

We are also pleased to meet with 

some of our key clients in the region 

-- such meetings provide us not only 

with hands-on experience to better 

understand our customers’ requirements 

but also the opportunity to strengthen 

our ties with them.” 

Asia represents approximately 

13% of Alba total sales in 2014 and is a 

key market consumer for aluminium 

products. 

Al Safar Group appoints Ahmed Khalfan as CEO 

Al Safar Group announced the 

appointment of Mr. Ahmed Khalfan 

as Group Chief Executive Officer who 

will be spearheading the group to 

develop its businesses and manage its 

subsidiaries. 

Mr. Adel Al Safar, Group Chairman 

commented, "We are very pleased to 

welcome Mr. Ahmed Khalfan to the 

executive management of the group, 

he will play a significant role in leading 

the group and support it to continue 

its success. He will be responsible for 

implementing investment strategies and 

strengthening existing relationships 

with key clients and partners. We wish 

him good luck in his new position." 

Mr. Khalfan expressed his pleasure 

in joining this prestigious group saying, 

"I am honored to join the Al Safar Group 

and I will serve to develop its businesses 

through utilizing my experience in the 

business sector. I will be working closely 

with the chairman to strengthen its 

Brand new bodyshop facility to 

serve Euro Motors 

Euro Motors have signed an 

agreement worth $10 million to build 

a brand new state of the art body shop 

facility to serve the Euro Motors brands 

and other potential customers. 

Adel Al Safar, Group Chairman (left) 

Ahmed Khalfan, Group CEO (right) 

position in the market." 

"The Al Safar Group’s core business 

focuses on the IT sector; it provides new 

and unique cutting-edge technology 

to the market. It also invests in the 

real estate and food sectors. I am 

With BR Technologies MENA as 

the authorized distributors of the 

Bodyshop Revolution, this turn-key 

solution will provide the new facility 

with extraordinary technology to 

achieve unbelievable repair speed, 

very confident that we can achieve 

further growth through catering to the 

requirements of the target market." 

Mr. Khalfan is experienced in the 

fields of marketing communications, 

public relations, market research and 

business development. He holds a 

Master of Business Administration from 

Seattle University, Washington State - 

School of Business Administration and 

an Associate's degree from Chartered 

Institute of Marketing (ACIM). 

The Al Safar Group of companies 

includes EXCEED for Information 

Technology IT Solutions & Training, 

InfoCall the first contact center in 

Bahrain, InfoTouch which is a full-fledge 

communication agency, Times Square 

Property Development, Rainforest Café, 

Autocare Mobile Car Wash Service, 

Al Safar Food Co., EZ BURGER, and 

Control4 which is a leading provider of 

personalized automation and control 

solutions. 


51


innovative design and a methodical 

implementation with software to control 

all aspects of production. 

Mr. Nawaf K. Al Zayani, Managing 

Director of Euro Motors along with 

Mr. Paul Yates, General Manager of 

Euro Motors signed the agreement 

in collaboration with Mr. Robert 

McMunnigal and Mr. Richard Sinclair 

from BR Technologies MENA, Mr. Qamar 

Ul Hassan from Gulf House Engineering 

Company S.P.C and Mr. Raed Ahmed 

Omer Saleh from Ahmed Omer Trading & 

Contracting Est. WLL. 

A middle east ART house offering a collection to the 

world 

STOP and SHOP for ART at 

ARTDIVANO, a Middle East ART 

house offering a collection to the World. 

ARTDIVANO’s business concept stands 

strong on three main pillars of services 

namely ART CONSULTANCY, ARCHIVAL 

PRINT BOUTIQUE and ONLINE GALLERY. 

ART CONSULTANCY entails 

development of an art program tailored 

to the client’s requirement including 

design, customizing, production and 

installation of artworks whether 

in hotels or private residences. We 

have in-house expertise with a 

track record, Mrs Marion Labani Art 

Director has extensive experience in 

the Art Consultancy field and we have 

completed full art programs in Doha 

Double Tree Hilton Hotel, amongst Sofitel 

Resort and Spa Bahrain and the Majestic 

Arjan by Rotana Bahrain to name a few. 

The ARCHIVAL PRINT BOUTIQUE 

has been successfully launched recently 

and offers Reproductions of Fine 

Art and Photography. Our in-house 

Reproductions are proudly “Made in 

Bahrain”, museum quality certified to 

last for years. Mrs Afaf Zainalabedin, the 

Managing Director of ARTDIVANO says 

that this is a dream come true, “Marion 

& myself always felt a strong demand 

Marion Labani, Art Director & Afaf Zainalabedin, Managing Director 

for Archival Reproductions in the 

Region as well as offered internationally 

and are proud to have established the 

first ARCHIVAL PRINT BOUTIQUE in 

Bahrain“. 

ARTDIVANO has also launched 

the concept of “myPHOTObox” where 

a costumer image is boxed framed for 

table and wall art display. Orders can be 

placed by ARTDIVANO’s Instastore via 

Instagram, which is a newly developed 

online shopping concept highly 

costumer friendly and easily accessible 

Our ONLINE GALLERY aims to 

house a collection of Middle Eastern 

Art presented worldwide and shall 

be launched in October 2015 on 

the occasion of Art Bahrain, where 

ARTDIVANO is participating with a 

selection by leading and renowned 

artists. 

Our signature products are displayed 

via instagram@artdivano, www. 

instastore.me/artdivano and www. 

artdivano.com 

Contact email: Afaf@artdivano.com 

and Marion@artdivano.com for further 

information. 

Hyundai reaffirms its position as one of the world’s 

leading automotive manufacturers 

Hyundai has reaffirmed its position 

as one of the world’s leading 

automotive manufacturers thanks to 

prestigious awards from international 

awards body J.D. Power. As part of the 

company’s 2015 Initial Quality Study 

which surveyed 84,000 customers, the 

Hyundai Tucson and Accent have been 

reported fewer problems with their 

vehicles than any other small SUV or 

small car, respectively. 

Overall Hyundai ranked fourth 

among all brands in the J.D. Power 

2015 U.S. Initial Quality Study SM (IQS) 

and second among non-premium 

automakers, putting the Korean brand 

ahead of its Japanese counterparts. 

In total, Hyundai had four models 

ranking in the top two in their segments, 



including segment awards for Tucson 

and Accent, and second-place finishes 

for Elantra and Santa Fe. The Hyundai 

overall score was 95 problems per 100 

vehicles, 17 problems fewer than the 

industry average. The 2015 Hyundai 

Tucson was awarded for the highest 

initial quality in the small SUV segment 

and the 2015 Hyundai Accent earned the 

highest honour in the small-car segment 

for the second year in a row. 

Jin (James) Kim, Vice President and 

Head of operations in Africa and the 

Middle East said, “The overall ownership 

experience of the people who buy our 

cars is based on our modern premium 

brand direction which provides vehicles 

with innovative technologies, while 

ensuring highest levels of initial and 

long-term quality and services they can 

rely on.” 

Volvo XC90 named auto express car of the year 2015 

The Volvo XC90 has been named Car 

of the Year 2015 and Large SUV of the 

Year at this year’s Auto Express New Car 

Awards. 

Volvo Cars’ award-winning XC90 is 

already close to selling out its entire first 

year’s planned production run of 50,000 

cars. To date over 44,000 cars have been 

ordered. 

“This award reflects the great 

passion that Volvo Cars puts into its 

new cars. We understand our customers’ 

desire to have beautiful cars – cars that 

make their lives easier by delivering 

the latest technology but in a userfriendly 

manner. We also understand 

the driving need for powertrains that 

deliver efficient performance, and a 

chassis that provides a balanced and 

engaging driving experience,” said Dr 

The new Toyota Mirai hydrogen fuel 

cell electric vehicle will offer an EPAestimated 

67 miles per gallon equivalent 

(mpge) city/highway/combined when 

it hits dealerships in California this fall, 

and an EPA-estimated driving range 

“SUV sales accounted for 21.9% of 

our total sales during 2014 (74,419 units) 

therefore the international recognition 

from our customers is invaluable. It is 

also worth noting that the Accent was 

our second bestselling model last as it 

recorded a boost of 9% totaling 79,013 

Peter Mertens, Senior Vice President 

Research & Development at Volvo Car 

Group, accepting the award. 

The all new XC90 is the first car to 

be built on Volvo Cars’ Scalable Product 

Architecture (SPA) using its acclaimed 

Drive E powertrain technology. 

A blend of rich Scandinavian design 

elements, both inside and out, makes 

the XC90 stand out from the crowd. 

Delivering a commanding road presence 

with the distinct ‘Thor’s Hammer’ LED 

headlights and larger grille, the XC90’s 

powerful exterior design makes a strong, 

yet subtle statement. 

The interior’s crowning glory is 

the in-car control system, Sensus. 

This intuitive system controls all the 

major functions of the vehicle, from the 

rating of 312 miles on a single fill of 

hydrogen. 

The world's first mass-produced 

hydrogen fuel cell electric vehicle, the 

Toyota Mirai is a four-door, mid-size 

units sold," added kim. 

The 2015 IQS is based on responses 

from more than 84,000 purchasers and 

lessees of new 2015 model-year vehicles 

surveyed after 90 days of ownership. 

infotainment, phone, navigation and 

connectivity features. The interior is 

the epitome of Scandinavian design, 

a serene and relaxing environment, 

combining the finest natural materials 

available such a leather and wood, and 

at the same time being a practical seven 

seat SUV. 

The future of mobility is ready to hit the road 

sedan with performance that fully 

competes with traditional internal 

combustion engines - but uses no 

gasoline. Instead, Mirai creates 

electricity on demand using hydrogen, 

oxygen and a fuel cell, and emits nothing 


53


but water vapor in the process. 

Toyota has matched the Mirai's 

impressive performance with an equally 

impressive ownership experience. In 

addition to outstanding range and fuel 

economy, Mirai drivers will enjoy a 

comprehensive, ownership experience 

offering a range of world-class services, 

including: 

• Three years' worth of complimentary 

fuel 

• Three years complimentary Safety 

Connect and Entune, including hydrogen 

station finder app. 

• Three years of 24/7 customer call 

support. 

• Mirai Complimentary Rental 

Experience for seven days per year for 

three years. 

• No cost service plan and roadside 

assistance, is enhanced for Mirai and 

offers 

• No cost scheduled maintenance for 

three years, or 35,000 miles, whichever 

comes first 

• 8-year/100,000-mile warranty on key 

fuel cell vehicle components including 

the FC stack and power control unit; FC 

hydrogen tanks; hybrid battery pack and 

ECU; FC air compressor, boost converter 

and ECU; hybrid control module (power 

management control module); and 

hydrogen fueling ECU. 

Nissan Patrol 'SUV of the year' 

The Nissan Patrol has won ‘SUV 

of the Year' in both Automan and 

Evo Magazine awards, adding more 

prestigious accolades for the Japanese 

automaker’s iconic model. 

“This is a competitive and elite 

segment but the Nissan Patrol leads 

the pack. Once again the Nissan Patrol 

has proved why it is dubbed ‘Hero of all 

Terrains in Life’. The Patrol’s reputation 

as a highly-capable, extremely powerful, 

reliable and durable vehicle is secondto-none 

in the Middle East market," 

says Samir Cherfan, managing director, 

Nissan Middle East. 

Evo is one of the most highlyregarded 

automotive publications in 

the UAE, while Automan is the leading 

automotive publication in Oman. Their 

annual Car of the Year awards command 

a great deal of respect throughout the 

Middle East. 

Cherfan says that in addition to 

satisfying its loyal customers the Nissan 

Patrol is attracting many new buyers to a 

vehicle that has been an integral part of 

motoring in the Middle East for over four 

decades. 

The Evo and Automan awards joined 

with 24 other prestigious honours for the 

Nissan Patrol in the Middle East. 

Nissan’s flagship model in the 

Middle East received the awards from 

some of the top regional titles in 2014, 

including: BBC Top Gear Middle East, 

Sport Auto magazine, Saudi Auto 

magazine, Motorshow, PR Arabia 

Awards, Saudi Motors, Entrepreneur 

Middle East magazine, Automobile 

magazine, Automobile TV Show, 

Aswak Al Sayara Al Arabia, Car Xpress 

magazine, Evo Middle East, Middle 

East Car magazine, Gulf Autos, Auto 

Middle East, Alam Al Sayyarat, Aswak Al 

Sayyarat, Car Express, Car on Web, Cars & 

Speed and Guinness World Records. 


Real Estate 


55

Biz Dashboard 

Net Profit comparison for the first half of 2015 & 2014 

(BD in millions) 

NBB (National Bank of Bahrain), ASBB (Al Salam Bank Bahrain), BBK (Bank of Bahrain & Kuwait), BISB (Bahrain Islamic Bank), 

KHCB (Khaleeji Commercial Bank), BNH (Bahrain National Holding) 

Market Share for PR Coverage 


* All figures shown in the bars are BHD - mln (millions) 

bizbahrain.com - Web Portal Overview as on 31st July, 2015 Total Articles (6,524) Total Views (104,098) Total Clicks (781,430) 

www.bizbahrain.com 


57

Tweets on Biz 

37,624 

Total Views 

397 

Retweets 

488 

bizbahrain 

Link Visits Stats for the month of July 2015 



59

The Biz Scene 

Novo Cinemas open first IMAX in Bahrain 

LEGO® City Open in Bahrain City Center 


Bahrain Summer Festival 2015 attractions unveil 

Damas Open new outlet in Seef Mall Muharraq 


61

If you have anything to say about business in Bahrain your letters 

will be posted in this section of the magazine please email us on 

info@bizbahrain.com 

LETTERS & 

COMMENTS 

Very happy with the bizbahrain magazine, it is very useful for us 

getting an insight of the business market in Bahrain. 

If you are working on any stories/features in topics like private 

equity, stocks or any general economy stories which involve 

sectors like healthcare, education, F&B and logistics, we would 

love to contribute in your respective magazine. 

Kindly let us know if you need editorial support, exclusive interviews, industry 

comments etc. on the same. 

- Mahesh Kumar 

The article on the 

Bahrain's hospitality is 

very positive and would 

like to see more articles 

that focus on the differnt 

sectors of the economy 

and how they are doing 

compared to each other. 

Congratulation on the 

new look and feel of the 

bizbahrain magazine, 

very sophisticated, 

organized and total 

international look. You 

and your team have 

done a brilliant job! 

We would love to read 

more about the new 

development projects 

and the businesses 

opening in Bahrain and 

also about the industries 

which are witnessing 

growth in the kingdom. 

- Heather John 

- Gregory - Jawad Ibrahim 

The article on time 

management is very 

useful. It's very easy 

to get distracted with 

all the technology, 

gadgets and social 

media in today's life. 

It's important to know 

how to use our time 

optimally! 

- Zeina Akl 

I wanted to know if you are interested in having 

articles on meditation in your beneficial magazine 

guiding people to their inner values and showing 

them how to shift from negative thinking into 

positive thinking. It would be a good idea for your 

readers to have a new vision for themselves and 

for life. 

- Rita Moussalem 



63

BizBahrain Aug - Sep, 2015

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