Data Centers in Bahrain

Bahrain – The Gulf’s Cloud & Connectivity Hub

Bahrain is the primary market for organizations requiring low-latency access to the AWS Middle East cloud region. Its strategic location and stable infrastructure make it an essential digital gateway for serving high-growth markets across the Gulf Cooperation Council (GCC). Deploying in Bahrain accelerates service delivery and improves application performance for millions of end-users in the region.

Bahrain: At A Glance

Network & Connectivity Ecosystem

Bahrain's ecosystem is defined by its role as a regional cloud hub, centered around the AWS region.

Carrier Density & Carrier Neutrality: Over 5 carriers operate in Bahrain as of September 2025. While the total number is modest, the ecosystem provides focused, high-quality connectivity to key regional and international destinations, with several carrier-neutral facilities available.

Direct Cloud On-Ramps: Over 2 dedicated cloud on-ramps are present as of September 2025, enabling direct, low-latency access to the local AWS Middle East (Bahrain) region. This is the country's main draw, allowing enterprises to build reliable, high-performance hybrid architectures.

Internet Exchange Points (IXPs): The primary exchange is the Manama Internet Exchange (MN-IX). It facilitates efficient local traffic peering, reducing latency and transit costs for businesses serving the Bahraini market.

Bare Metal: Bare metal server options are available, offering dedicated compute for performance-sensitive applications. Providers such as Hivelocity offer solutions in the region, complementing colocation and cloud services.

Power Analysis

Average Cost Of Power: Expect industrial power rates between BHD 0.02 and BHD 0.04/kWh, as of September 2025. These competitive rates make Bahrain an attractive location for power-intensive computing workloads compared to other global hubs. The grid is almost entirely powered by fossil fuels.

Power Grid Reliability: The national power grid is reliable and well-maintained, particularly in the commercial and industrial zones where data centers are located. Data center operators benefit from a stable utility supply, which is the foundation for delivering high uptime.

Market Access, Business & Tax Climate

Proximity To Key Business Districts: Data centers in Bahrain offer low-latency connectivity to the capital, Manama, which is the country's financial and commercial center. This proximity is critical for financial services, government, and enterprise customers requiring rapid data access.

Regional Market Reach: Bahrain is geographically positioned to serve the entire GCC region. It provides excellent connectivity to the massive market of Saudi Arabia's Eastern Province, as well as Qatar, Kuwait, and the UAE, making it a strategic digital outpost.

Tax Advantage For Data Centers: The primary financial advantage in Bahrain is the complete absence of corporate income tax. While there are no specific tax incentives for data centers, the 0% corporate tax rate provides a significant, straightforward benefit that lowers the total cost of operation.

Natural Disaster Risk

Bahrain has a very low natural disaster risk profile, rated Low (1.8/100) as of September 2025. This environmental stability is a key advantage for critical IT infrastructure requiring maximum uptime and minimal disruption.

The primary environmental considerations include:

• Coastal Flood Risk (5.3/10): As an island nation, some areas have exposure to coastal flooding, a factor mitigated through proper site selection and facility engineering.
• Epidemic Risk (4.1/10): This reflects regional health and operational resilience factors rather than a direct threat to physical infrastructure.
• Other Natural Hazards: Risks from earthquakes (0.1/10), tropical cyclones (0/10), and river floods (0/10) are negligible.