Market Insights Financial Corporate Finance

Investment Banking - Bahrain

Bahrain

The Investment Banking market market in Bahrain is expected to witness significant growth in the coming years.
According to projections, the revenue in this market is estimated to reach US$49.47m in 2024.
Furthermore, it is anticipated to exhibit a steady annual growth rate (CAGR 2024-2028) of -2.66%.
This growth trajectory is projected to result in a total revenue of US$44.41m by 2028.
When compared globally, it is worth noting that the United States currently holds the highest revenue in the Investment Banking market market.
In 2024, the United States is expected to generate a staggering US$119.10bn in revenue.
This highlights the prominence of the United States in this sector and underscores the potential for growth in Bahrain's Investment Banking market market.
Bahrain's investment banking sector is experiencing a surge in cross-border transactions, attracting international investors seeking opportunities in the Middle East.

Market

Region

Region comparison

Currency

Analyst Opinion

The Investment Banking market in Bahrain is experiencing a steady growth trajectory driven by various factors.

Customer preferences: Investors in Bahrain are increasingly looking for personalized and tailored investment banking services that cater to their specific needs and risk appetites. They prefer a high level of transparency, ethical practices, and a strong focus on compliance and regulations in the services offered by investment banks.

Trends in the market: One prominent trend in the Bahraini Investment Banking market is the rising demand for Islamic finance products. As Bahrain is a leading Islamic finance hub in the region, there is a growing preference for Sharia-compliant investment banking services. Additionally, there is a noticeable shift towards sustainable and socially responsible investment practices, with more investors seeking opportunities that align with environmental, social, and governance (ESG) criteria.

Local special circumstances: Bahrain's strategic location in the Gulf region, along with its well-established regulatory framework and business-friendly environment, makes it an attractive destination for investment banking activities. The country's strong focus on innovation and technology in the financial sector has also contributed to the growth of the Investment Banking market. Moreover, the presence of a skilled workforce and a supportive government further enhance the competitiveness of Bahrain as a financial hub.

Underlying macroeconomic factors: The stable economic environment in Bahrain, supported by prudent fiscal policies and diversification efforts, has created a conducive atmosphere for investment banking activities to thrive. The government's initiatives to promote foreign investment, improve infrastructure, and enhance the overall business climate have bolstered confidence among investors. Additionally, Bahrain's status as a regional financial center and its access to international markets have attracted both local and foreign players to the Investment Banking sector.

Methodology

Data coverage:

Figures are based on the revenue generated by the Investment Banking market, as well as the transaction value, the number of transactions, and the average transactions size of the Mergers and Acquisitions (M&As) and Initial Public Offerings (IPOs) markets.

Modeling approach / Market size:

Market sizes are determined by a bottom-up approach and are based on a specific rationale for each market. As a basis for evaluating markets, we use market research and analysis, as well as data from annual financial reports. Furthermore, we use relevant key market indicators and data from country-specific associations and national data bureaus, such as GDP, wealth per capita, and total investment (% of GDP). This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. In this market, we use the HOLT-damped Trend method to forecast future development. The main drivers are GDP per capita and total investment (% of GDP).

Additional Notes:

The market is updated twice per year in the event that market dynamics change.