SYLLABUS
GS-2: Bilateral, regional and global groupings and agreements involving India and/or affecting India’s interests.
Context:
Recently, Bahrain’s Foreign Minister Dr Abdullatif Bin Rashid Alzayani visited India to co-chair the 5th India-Bahrain High Joint Commission meeting.
More on the News
- The discussion of the High Joint Commission focused on implementing the Executive Programme of the India-Arab Cooperation Forum (IACF) covering areas such as energy, education, media and culture.
- During the discussion, both sides agreed to develop a common understanding to commence Double Taxation Avoidance Agreement (DTAA) negotiations” to eliminate double taxation, provide tax certainty and promote trade and investment.
- India also reiterated its support for the Gaza Peace Plan announced by Trump, in which Bahrain is also a stakeholder.
Bilateral Relations
Historical and Cultural Ties:
- The bilateral trade and commercial exchanges go back about 5,000 years, tracing their origins to the period of Dilmun Civilization in Bahrain & Indus Valley Civilization.
- The sizeable Indian diaspora in Bahrain, constituting nearly a quarter of the population, reinforces deep socio-cultural ties.
- Diplomatic missions were established in October 1971. India opened its embassy in Manama in January 1973, and Bahrain opened its embassy in New Delhi in March 2007.
Strategic and Defence Cooperation: India and Bahrain conduct naval exercises through various joint operations, such as the Maritime Partnership Exercise (MPX) and Passage Exercise (PASSEX), to enhance interoperability and strengthen maritime cooperation.
Counter-Terrorism Collaboration and Intelligence Sharing: Both countries actively cooperate on counter-terrorism efforts through intelligence sharing and law enforcement coordination.
Capacity Building and Cyber Security Initiatives: India provides technical assistance and training to enhance Bahrain’s defence and cybersecurity infrastructure.
Economic and Trade Relations:
- India-Bahrain bilateral trade reached approximately USD 1.64 billion in FY 2024–25.
- The trade portfolio includes petroleum products, electronics, processed foods, machinery, gems, and jewellery.
- Healthcare, fintech, electronics, and manufacturing sectors offer significant growth potential for bilateral investments.
Negotiations on Comprehensive Economic Partnership Agreement (CEPA): Both nations actively pursue CEPA negotiations to facilitate trade liberalization and market access for goods and services.
Investment Opportunities and Sectoral Cooperation: India encourages Bahraini investors to leverage its expanding economic landscape for mutual benefit.
Emerging Areas of Cooperation
Collaboration in Space Technology and FinTech: India and Bahrain jointly explore opportunities in satellite technology and financial technology innovations to foster technological growth.
Healthcare and Cultural Exchanges:
- The partnership encompasses initiatives to enhance healthcare access and promote medical tourism.
- Continuous cultural exchanges facilitate increased people-to-people connections and shared heritage appreciation.
Digital Transformation and Startups: India supports Bahrain’s digital economy advancements and startup ecosystem through knowledge exchange and capacity building programs.
Regional and Global Cooperation:
- Both nations uphold a shared vision for regional peace, exemplified by India’s support for the Gaza Peace Plan.
- They collaborate to ensure stability in the Gulf region through multilateral platforms and diplomatic efforts.
Engagement through Multilateral Platforms: India-Bahrain partnership extends into Gulf Cooperation Council frameworks and maritime coalitions, including the Combined Maritime Forces.