There are reportedly discussions on a 1% repatriation tax on money expats send back home. Les Horton in the GDN makes some valid points. To quote his figures, there are approx. 270,000 expatriates living in Bahrain, of which about 192,000 work. The expat population contributes a tremendous amount of spending power to the national economy, not to mention the cheaper labour in many sectors. Also, the repatriated money for the majority goes home to feed families back home. So it looks like putting this law in force may just discourage more foreign investment, plus add fuel to currently dormant 'hawala' or black money trails.

The GDN today reports that the Cabinet has taken positive steps ahead to improve protection for those employed in the Private Sector, including:

- Ensuring employers pay salaries direct to employee bank accounts by the end of the month.
- Expansion of industrial projects to create new jobs.
- New draft laws to protect rights
- Nationalization of jobs at ports of entry.

Source: Gulf Daily News

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