According to a release from the Bahrain News Agency, Bahrain's Cabinet approved a package of reform measures on 29 December 2025. This includes, among other things, a draft law for the introduction of a 10% tax on the profits of local companies with annual revenue exceeding BHD 1 million or net annual profits exceeding BHD 200,000. The tax would be levied on profits exceeding BHD 200,000. The 10% tax is intended to be implemented in 2027.