Bahrain may have been the first Gulf state to discover oil, but it was also the first to recognise the need to develop an economy less reliant on the sticky black gold.
The archipelago of 40 islands covering 711.9 square kilometres in the Arabian Gulf, has been described as the most business friendly and the most socially liberal state in the Middle East.
Bahrain is the only member of the Gulf Cooperation Council to permit 100 per cent foreign ownership of companies. Foreign direct investment is expected to reach US$2 billion this year from US$1.7 billion in 2007.
Bahrain is not interested in being the biggest, but in being a steady and reliable partner, said Mohammed Bin Essa Al-Khalifa, the chief executive of the Bahrain Economic Development Board.
'We must create a sustainable model,' Sheikh Mohammed said. 'We want foreign investors to develop our people to serve the region. We want long-term partnership that last generations not quick money.'
Despite the global financial crisis, Sheikh Mohammed said Bahrain was still looking for economic growth of between 3 and 5 per cent. That compares with 6.6 per cent growth in 2007.
He said with growth momentum now coming from Asia and the Middle East, Bahrain needed to focus more on the East, building on the government's long-term policy of promotion of non-oil industries.