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Bahrain Interest Rate

Bahrain's interest rate decreased to 5% in September 2025 from 5.25% in July 2025. This reduction aligns with the US Federal Reserve's action and supports the Bahraini Dinar's peg to the US Dollar. The Central Bank of Bahrain lowered its one-week deposit facility rate by 25 basis points. Moderating inflation and forecasts of further declines by mid-2025 allow for this monetary easing without increasing price pressures. The policy aims to stimulate economic growth by lowering borrowing costs. Bahrain's record low interest rate was 0.5% in October 2015 and record high was 6.25% in July 2023.

Historical Data (2015-2025)

(in %)
Date Interest Rate
Sep 18, 2025 5%
Jul 31, 2025 5.25%
Jun 19, 2025 5.25%
Dec 31, 2024 5.25%
Nov 07, 2024 5.5%
Sep 18, 2024 5.75%
Aug 31, 2023 6.25%
Jul 26, 2023 6.25%
May 03, 2023 6%
Mar 22, 2023 5.75%
Jan 31, 2023 5.25%
Dec 14, 2022 5.25%
Nov 02, 2022 4.75%
Sep 21, 2022 4%
Jul 27, 2022 3.25%
Jun 15, 2022 2.5%
May 04, 2022 1.75%
Mar 16, 2022 1.25%
Apr 30, 2020 1%
Mar 16, 2020 1%
Oct 30, 2019 2.25%
Sep 19, 2019 2.5%
Jul 31, 2019 2.5%
Jun 28, 2019 2.75%
Apr 30, 2019 2.75%
Mar 20, 2019 2.75%
Jan 31, 2019 2.75%
Dec 19, 2018 2.75%
Sep 26, 2018 2.5%
Jun 14, 2018 2.25%
Apr 30, 2018 2%
Mar 21, 2018 2%
Dec 14, 2017 1.75%
Sep 29, 2017 1.5%
Jun 15, 2017 1.5%
Mar 15, 2017 1.25%
Dec 30, 2016 1%
Apr 29, 2016 0.75%
Jan 29, 2016 0.75%
Dec 16, 2015 0.75%
Oct 30, 2015 0.5%

Recent Events

datetime event actual previous consensus
2025-09-17 02:30 PM Interest Rate Decision 5% 5.25% -
Bahrain Interest Rate : Definition
The Interest Rate set by the Central Bank of Bahrain is the benchmark cost of borrowing in the economy. It influences lending, spending, investment, inflation, and overall financial stability.
Indicator Last Value Prior Value Period
Current Account to GDP Ratio 5.3% 5.9% Dec'24
Debt to GDP Ratio 134% 123% Dec'24