Data Centers in Amwaj Islands
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Amwaj Islands, Bahrain – Strategic Gulf Connectivity Hub
Amwaj Islands, as part of Bahrain, offers a stable and low-risk environment for digital infrastructure aimed at serving the Arabian Gulf. This market is ideal for enterprises requiring a strategic foothold in the Middle East, balancing operational security with access to key regional financial and logistical centers. Bahrain's developing infrastructure provides a solid foundation for companies prioritizing uptime and regional resilience.
Amwaj Islands, Bahrain: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Reliable regional connectivity with growing international links. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Access is via regional hubs; private network extensions are available. |
| Power Cost | BHD 0.01 - 0.03/kWh, as of September 2025 | Fossil fuels dominate the energy mix, keeping industrial power costs competitive. |
| Disaster Risk | Very Low (1.8/10), as of September 2025 | Minimal exposure to significant natural hazards, enhancing operational stability. |
| Tax Incentives | No | Bahrain does not offer specific tax incentives for data center development. |
| Sales Tax | 10% VAT, as of September 2025 | The standard Value Added Tax applies to goods and services. |
Network & Connectivity Ecosystem
Carrier Density & Carrier Neutrality Bahrain supports a competitive telecommunications landscape with several key providers offering services. As of September 2025, the market benefits from multiple fiber optic cable systems landing in the country, ensuring redundant international connectivity. Data centers provide access to a range of local and regional carriers.
Direct Cloud On-Ramps There are no direct cloud on-ramps located in Bahrain as of September 2025. Businesses connect to major cloud providers like AWS, Google Cloud, and Microsoft Azure through high-speed network links to nearby hubs in the UAE or other regional locations. Private network interconnects can be established to achieve low-latency connections.
Internet Exchange Points (IXPs) The primary internet exchange in the country is the Bahrain Internet Exchange (BIX). It facilitates local traffic peering, reducing latency for domestic users and improving the efficiency of internet traffic flow within the kingdom.
Bare Metal Bare metal server options are available, primarily through regional providers and global companies that service the Middle East. Providers like Hivelocity offer dedicated server solutions that can be deployed to serve local and regional workloads.
Power Analysis
Average Cost Of Power The average cost for industrial power in Bahrain ranges from BHD 0.01 to BHD 0.03 per kWh, as of September 2025. This competitive pricing is a direct result of the nation's significant fossil fuel resources, which constitute over 99% of its energy mix. These low energy costs provide a significant operational advantage for power-intensive data center facilities.
Power Grid Reliability Bahrain's national power grid is well-engineered and reliable, particularly in the commercial zones where data centers are located. The infrastructure is modern, with support from multiple substations to ensure consistent and redundant power delivery, which is critical for maintaining high uptime standards.
Market Access, Business & Tax Climate
Proximity To Key Business Districts Amwaj Islands is strategically located near Bahrain's primary economic centers, including the Bahrain Financial Harbour and the capital, Manama. This proximity allows data centers to provide low-latency services to the country's thriving financial services, technology, and logistics sectors.
Regional Market Reach From its central position in the Arabian Gulf, Bahrain offers effective market access to the entire Gulf Cooperation Council (GCC) region, including major markets like Saudi Arabia, Qatar, and the UAE. Its causeway connection to Saudi Arabia provides a unique terrestrial link for data and logistics.
Tax Advantage For Data Centers Bahrain's primary financial advantage is its overall low-tax environment, including a 0% corporate income tax. While no specific incentives exist for data centers, this favorable tax structure simplifies business operations and enhances profitability for all enterprises operating within the country.
Natural Disaster Risk
Bahrain has a very low natural disaster risk profile, with an INFORM Risk score of 1.8 out of 10, as of September 2025. The nation's geography and climate shield it from most significant environmental threats, making it a secure location for critical infrastructure.
The primary natural hazards to consider are:
- Coastal Flooding: The most notable risk, though still moderate, associated with storm surges in the Arabian Gulf.
- Epidemic: A low but present risk common to any international travel and trade hub.
- Earthquake: Risk is negligible, with a score of 0.1.
- Tsunami, River Flood, and Tropical Cyclone: Risk is effectively zero.
