Bahrain, the smallest territory and population in the MENA region and the smallest economy in the GCC, is currently continuing its real estate development as it is trying to diversify its economy away from oil and gas, which still represent around 77% of revenues. Faced by the same challenges as other countries in the region, ranging from the cost of construction to the liquidity crunch, it seems that Bahrain is better equipped to handle the global financial crisis since its demand is mainly local and its market is comparatively small. Since Bahrain is the first to be expected to run out of oil, it started to diversify its economy long before its neighbors, focusing on tourism, real estate and finance. In 1999, legislation was passed allowing land ownership by GCC nationals. In 2001, a new decree was issued, which came into force in 2003, stating that non-Bahrainis, GCC nationals and
