DOMESTIC POLITICS: In 2010-11 the rule of King Hamad is expected to remain broadly secure, with the Al Khalifa family retaining control over the executive, and the legislature remaining weak. Nonetheless, there will be underlying tensions over economic inequalities, the halting pace of political liberalisation and perceptions of sectarian discrimination, and social unrest is likely to persist, especially around the 2010 election. Many of the country's Shia Muslims, who form a majority of the population, say that they are economically and politically marginalised by the Sunni Muslim ruling family, which holds most of the important cabinet posts. There is also a widespread belief among Shia Bahrainis that the government is fast-tracking citizenship applications for Sunni expatriates in order to alter the country's demographic balance. Such claims are hard to verify, but the perception will contribute to social unrest, including protests, riots and roadblocks, concentrated mainly in outlying Shia villages but sometimes spilling over into the capital.

Source: Bahrain: Country outlook

Source: Country Forecast Bahrain August 2009

Source: EIU Country Data