Bahrain economy contracts 3.8% as Strait of Hormuz disruption hits oil sector, non-oil economy grows

Bahrain's economy shrank by 3.8% in the first quarter of 2024. The contraction was attributed to disruptions in the oil sector caused by restrictions in the Strait of Hormuz.

Non-oil sectors of the economy, however, posted growth, expanding by 2.2%, according to Arabian Business.

The Strait of Hormuz is a critical waterway for global oil and gas flows, and its disruption has had significant impacts on the region's economy. Hellenic Shipping News reported that Saudi Aramco has been taking steps to mitigate these disruptions, including increasing oil offerings for loading outside the strait and using ship-to-ship transfers in the United Arab Emirates and Oman.

Brief written by urgent.news from Arabian Business, Hellenic Shipping News — 2 reports on this story. Machine-written — may contain errors; check the original before relying on it.