A £2bn ‘vote of confidence’
Investment in various sectors
Part of wider negotiations
Bahrain has signed a £2 billion ($2.69 billion) agreement with the UK to invest in British financial services, clean energy, manufacturing and technology.
“This 2 billion pounds commitment is yet another major vote of confidence in the UK economy, backing the key growth sectors we’ve identified in our upcoming modern Industrial Strategy,” Reuters quoted business minister Jonathan Reynolds as saying in a statement on Friday.
The announcement comes amid wider trade talks between the two countries. Crown Prince Salman bin Hamad Al Khalifa, the prime minister of Bahrain, met with Keir Starmer, the British prime minister, in Downing Street on Thursday.
“The leaders also underscored the importance of the new Defence Cooperation Accord between the two countries, deepening joint military training and building on the two nations’ strong naval ties,” the UK government said in a statement.
The accord was agreed during rising geopolitical tensions in the region, which have escalated as a result of the Israel-Iran conflict.
Bilateral trade between the two countries last year was about £3 billion, focusing on areas such as aluminium, petrochemicals, food, pharmaceuticals and automatives.
Bahrain is part of the six-member Gulf Cooperation Council, which has been negotiating to sign a trade deal with the UK since 2022.
The GCC and the UK are close to agreeing a £1.6 billion trade pact, The Guardian reported last month.
