Bahrain to give minority shareholders greater powers

Kingdom’s parliament approves legislation to remove restrictions on forming new businesses in a bid to increase foreign investment
Bahrain has seen near daily protests since the start of the unrest in early 2011
By Courtney Trenwith
Wed 21 May 2014 01:26 PM

Bahraini rulers are expected to approve legislation that would give minimum shareholders the right to vote on members of a company's board, Gulf Daily News has reported.

The new power is part of improving regulations dealing with private businesses in a bid to increase foreign investment in the kingdom.

Industry and Commerce Minister Hassan Fakhro said developments in global economies meant Bahrain had to remove restrictions on the formation of companies.

"Bahrain has always been a leader in investment and we are seeking more, but with unrealistic restrictions we get pushed back, so we came with urgent amendments to attract more capital into our market," he was quoted as saying.

"We want companies opening here to operate with ease and the amendments we presented are modern and take all international legislation into account.

"With regard to MPs' worries that it could also encourage financial crime, there is an anti-money laundering law that deals with all criminal activities in that field."

The parliament has voted in favour of the amendments and they have been referred it to the Shura Council as an urgent issue.

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