Bahrain

Corporate - Tax credits and incentives

Last reviewed - 14 February 2025

Bahrain has three primary free zones, each offering a highly favorable tax environment and tailored support for specific industries. 

  • The Bahrain Logistics Zone (BLZ), strategically located near Khalifa Bin Salman Port, is a prime destination for logistics and warehousing operations. It offers significant advantages including full customs duty exemptions and 100% foreign ownership. 
  • The Bahrain International Investment Park (BIIP), located in Salman Industrial City, is designed to support manufacturing, technology, and export-oriented businesses. It offers a highly competitive investment environment with full repatriation of profits and capital, no import or export duties, and simplified licensing procedures. 
  • The Bahrain Airport Free Zone (BAFZ), located adjacent to Bahrain International Airport, is tailored for businesses in aviation, air cargo, and e-commerce. It offers a highly efficient operating environment with fast customs clearance, and VAT exemptions for eligible activities.