Bahrain rises 5 places in Startup Ecosystem Index
Bahrain has ascended five places to 62nd in the Global Startup Ecosystem Index 2025 by StartupBlink, reversing a seven-spot drop from the previous year, propelled by a growth rate exceeding 40 per cent – the seventh-highest among 117 ranked nations.
Manama, the capital, has returned to the Middle East’s top 10 startup ecosystems, securing 10th place after jumping four spots. Globally, Manama ranks 325th, fuelled by a growth rate over 61pc and a climb of 78 positions. Within the Middle East, Bahrain maintains its fourth place, demonstrating the second-largest climb and growth rate among top-ranked countries in the region.
In the GCC region, Bahrain holds steady at third place for the second consecutive year.
The report notes the kingdom’s diverse, expat-heavy society and English proficiency foster entrepreneurship. Despite its oil-based economy, it cultivates new startup ecosystems. The nation offers a favourable legal framework, lower taxes, and operational costs. Tamkeen, a semi-autonomous government agency, is a key driver, providing significant funding and support through initiatives like ‘Start Your Business Programme,’ becoming an international model for government-enabled private sector success.
Public sector involvement is evident in StartUp Bahrain and Bahrain FinTech Bay. The country offers 100pc foreign ownership and zero corporate tax to attract global startups, aligning with Bahrain Vision 2030’s economic diversification goals.
The private sector also contributes, with Citi establishing a Global Tech Hub. Manama also hosts the World Entrepreneurs Investment Forum, further boosting innovation and international partnerships.
All GCC cities have improved their global rankings, with Manama and Muscat (Oman) recording growth of over 50pc, while Kuwait City achieved an increase exceeding 100pc.
The index 2025 highlights significant progress in the Middle East and North Africa (Mena) region’s startup landscape. Saudi Arabia was recognised as ‘Country of the Year’ for its policy-driven transformation, while the UAE solidified its role as a key investment hub.
It underscores the critical impact of location on a startup’s success, offering valuable insights for entrepreneurs, investors, and policymakers navigating the region’s thriving innovation scene.
Overall, the 2025 index highlights a turning point in the global tech landscape, shaped by the rise of artificial intelligence and an evolving geopolitical environment favouring regional economic blocs.
The report, which ranks 1,473 cities and 118 countries based on quantity, quality, and business environment, notes a global ecosystem growth rate just under 21pc.
Asia-Pacific leads regional growth at 27.4pc, with Central Asia showing the fastest sub-regional expansion at 43.3pc. Foodtech, Hardware and IoT, and Energy and Environment are the fastest-growing sectors, each expanding over 40pc.
The United States maintains its top global position, though its growth rate is the lowest among the top 50 ecosystems, with a decline in the number of US cities in the global top 1,000. The UK, ranked second, has strengthened its lead over Israel, while Singapore has impressively climbed to fourth globally, overtaking Canada with a remarkable 44.91pc growth rate.
London remains Europe’s strongest startup ecosystem, and Paris has vaulted to eighth place globally. Riyadh, Saudi Arabia, recorded the most dramatic rise in the top 100 cities, with an explosive 130pc growth.
The report emphasises the importance of strategic government support and a business-friendly environment for fostering robust startup ecosystems globally.
Source: https://www.gdnonline.com/Details/1353720/Bahrain-rises-5-places-in-Startup-Ecosystem-Index
