Bahrain: Amendments to commercial companies law

Bahrain: Amendments to commercial companies law

Guidance (decree no. 28 of 2020) issued 28 September 2020 amends certain provisions of the law in Bahrain concerning commercial companies.


The amendments aim to bring the law in line with international “best practice” and may require companies in Bahrain to make changes to their current structure. In general, the amendments concern:

  • Single person companies
  • Number of shareholders for a “limited liability” company
  • Minimum share capital requirements
  • Board membership
  • Remuneration of executive management and directors
  • Statutory reserves
  • Strategic shareholders
  • Mergers and acquisitions
  • Employee shares plans
  • Share capital increases
  • Limited partnerships
  • Not-for-profit companies

Read a September 2020 report [PDF 361 KB] prepared by the KPMG member firm in Bahrain

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