Boston, MA -- (SBWIRE) -- 11/20/2013 -- We have revised up our forecasts for new vehicle sales in Bahrain in 2013 from a 9% year-on-year (y-o-y) rise expected earlier to a more robust 14.5% y-o-y growth.

The upgrade reflects our overall optimism for the economy during 2013 and 2014, when we expect real GDP growth of 4.3% and 3.4% respectively. We believe that planned expansion in government current spending will help stimulate private consumption, which in turn will support new vehicle sales.

The first half of 2013 has seen a solid revival in economic activity, primarily driven by a normalisation of oil output following a prolonged technical disruption at the Abu Safa field in 2012. Latest data from the Central Informatics Organisation (CIO) shows that annual real GDP growth reached 4.2% in the first quarter of the year, compared with 4.9% and 2.5% in Q112 and Q412 respectively. Annual growth in the hydrocarbon sector reached 7.9%, the best performance since Q311.

View Full Report Details and Table of Contents

In terms of vehicle segments, we expect passenger car sales to outperform the commercial vehicle segment with sales growth of 15% y-o-y. Commercial vehicles accounted for fewer than 15% of the total vehicle sales during 2012, but this proportion is likely to increase to just under 17% by the end of the forecast period to 2017. Investments in the infrastructure and construction segment will result in the commercial vehicle sales growth outperforming that in the passenger cars segment. By the end of 2017, new vehicles market will close to 58,900 units - up over 40% compared with 2012 levels.

Bahrain remains an important target for luxury and premium vehicle makers similar to its neighbouring markets. August 2013 witnessed the launch of the limited edition MINI Ray in the market at dealership firm Euro Motors. MINI's sales in the region increased 11% y-o-y, to 773 cars during the first half of 2013.

With the view to tap demand from affluent consumers, UK bank Standard Chartered, in September 2013, entered into a partnership with Monther Al Mutlaq Trading Establishment, the official agent for US premium motorcycle manufacturer Harley-Davidson in Bahrain and Saudi Arabia. Under the agreement, an exclusive Islamic personal finance deal will be available on purchasing a Harley-Davidson motorcycle. Customers will also receive a free BHD150 (US$396) voucher to redeem motorcycle accessories, after completion of the Sharia-compliant personal finance agreement.

About Fast Market Research
Fast Market Research is an online aggregator and distributor of market research and business information. Representing the world's top research publishers and analysts, we provide quick and easy access to the best competitive intelligence available. Our unbiased, expert staff will help you find the right research to fit your requirements and your budget. For more information about these or related research reports, please visit our website at http://www.fastmr.com or call us at 1.800.844.8156.

Browse all Transportation research reports at Fast Market Research

You may also be interested in these related reports:

- Serbia Autos Report Q4 2013
- Japan Autos Report Q4 2013
- Hungary Autos Report Q4 2013
- Russia Autos Report Q4 2013
- Qatar Autos Report Q4 2013
- Turkey Autos Report Q4 2013
- Thailand Autos Report Q4 2013
- Malaysia Autos Report Q4 2013
- United Arab Emirates Autos Report Q4 2013
- Vietnam Autos Report Q4 2013