“Procapita”: Bahrain is first in the Gulf in developing human capital and as an attractive work environment

Sayed Hussein Al-Qassab

• Bahrain excels in training hours and labor market stability
• – Bahraini leadership amid intense regional competition to build a knowledge economy

The “Human Resources Trends and Practices for 2025-2026” report issued by the Procapita Group revealed the remarkable distinction of the Kingdom of Bahrain in developing human capital, after it topped the Gulf Cooperation Council countries in the average annual training hours per employee, in an indicator that reflects a clear strategic approach to building qualified national cadres capable of keeping pace with the rapid economic and technological transformations in the region.

The report, based on data from more than 3,000 institutions and employees, showed that Bahrain has strengthened its position as a stable and attractive work environment, supported by balanced job turnover rates, and balanced governance standards in leadership rewards, in addition to continued investment in developing skills and supporting the participation of national talents, which places the Kingdom in an advanced position within the race of the Gulf states towards building a knowledge-based economy, at a time when regional competition is intensifying to attract talent and lead the transformation towards the economy of the future.

At a time when the Gulf Cooperation Council countries are witnessing rapid economic and technological transformations, human capital management is no longer just an administrative function, but has turned into a strategic pillar that drives the success of “Vision 2030” and beyond.

The “Human Resources Trends and Practices for 2025-2026” report, issued by the Procapita Group, sheds light on the reality of the Gulf labor market, which is undergoing a comprehensive reformulation phase.

The report, based on data from more than 3,000 institutions and employees, monitors a noticeable escalation in the “talent war” and the intensification of competition for specialized competencies, coinciding with technical leaps led by artificial intelligence.

From ambitious Emiratisation strategies to succession challenges and rewards for senior leadership, this report provides an accurate reading in numbers and ratios of the reality and future of the work environment in the region, revealing the gaps that companies still face in their quest to build a knowledge-based economy.

The research relied on a systematic and scientifically based methodology to collect and analyze data, with the results verified and compared to international standards.

The study covered data from 2020 to 2025 to provide a comprehensive view of the market’s development. The sample of companies participating in the study included various sectors, including insurance, oil, gas and energy, tourism and hospitality, health care, construction, retail, education, communications and technology, manufacturing, financial services, food and beverages, and real estate. The companies were distributed between 40.5% listed and 59.9% unlisted.

The results of the report show a remarkable distinction for the Kingdom of Bahrain in the field of workforce development, as it succeeded in topping the list of Gulf Cooperation Council countries in terms of the average annual training hours allocated to each employee, which reflects a clear strategic vision for investing in human capital and building competencies capable of leading the knowledge economy.

Bahrain also stands out in the report as a relatively stable work environment in terms of employee turnover levels compared to some neighboring countries, with a continued focus on supporting women’s participation in the technical and educational sectors.

At the level of financial governance for leaders, data related to listed companies indicate that Bahrain adopts balanced standards in remuneration for board members, which enhances its investment attractiveness as a work environment that relies on efficiency and high productivity as a basic criterion for institutional growth. Governments continue to strengthen efforts to nationalize the workforce through initiatives, with the aim of integrating national talent into the private sector and reducing dependence on foreign labor.

Supply and demand dynamics change according to sectors, as demand is increasing in sectors related to artificial intelligence and its technologies.

Sectors such as renewable energy, technology, and healthcare topped the list of sectors with high demand in 2025, while the traditional retail and real estate sectors witnessed a decline in demand levels.

The trade and manufacturing, contracting and construction, healthcare, and technology sectors are expected to achieve remarkable growth in 2026, while average employee growth in the GCC countries rose to 19.6% in 2025, supported by renewed business confidence and economic diversification efforts. This growth is also expected to rise to 24% by 2026.

Hiring saw an increase in 2025, with applications for mid-level positions rising by 81.9%.

Salaries and benefits were the top talent priorities for accepting job offers at 59.9%, followed by job duties at 36.6%.

The average employee turnover rate (percentage of departures) in 2025 rose to 13% compared to 8% in 2024, reflecting the intensifying competition to attract talent.

Talent management at its various stages was a focus for human resources in 2025. Talent retention topped the priorities at 39%, followed by talent recruitment at 38%. Companies also invested in developing their organizational structures at 36% and automating operations at 35%.