The Middle East

Looking to better times in 2012 after a challenging 12 months that saw Bahrain’s economy lose some of its momentum, the Kingdom is seeing signs that several key sectors are moving quickly to recover lost ground in the New Year.

With forecasts predicting solid economic growth in 2011 and a political system that remained stable in spite of unrest rocking much of the Middle East, Oman looks set to see increased investor interest in the coming years.

Saudi Arabia’s telecommunications sector is to get a major shake up this year, with up to three new operators entering the mobile phone segment, though the route they will be taking will be very different from that followed by the three existing service providers.

A number of leading local firms are vying for lucrative construction contracts in neighbouring Gulf states and beyond, creating new opportunities for the sector.

The Van earthquake in late October, which stunned Turkey and dominated press headlines for weeks, has also brought renewed efforts to deal with the country’s decrepit and dangerous urban housing stock.

Having ended 2011 on a high, with its economy growing at break-neck speed, inflation under control and a stepped-up programme of infrastructure investments being rolled out, Qatar is well placed to continue similar growth this year. Yet with the spectre of recession hanging heavy in the air in Europe, and a scaling back of expectations in some major Asian economies, the country may find that in 2012 many of its achievements are consolidated rather than eclipsed.