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The UAE and Bahrain have agreed a wide-ranging co-operation programme covering diplomacy, economic ties, cybersecurity, education, healthcare and other areas. The announcement was made on 9 November during a visit by Crown Prince Salman Bin Hamad Al-Khalifa to Abu Dhabi, where he held talks with Abu Dhabi Crown Prince and UAE Armed Forces deputy supreme commander Sheikh Mohammed Bin Zayed Al-Nahyan (MBZ).

Sheikh Ali Bin Abdulrahman Bin Ali Al-Khalifa was named as Bahrain’s new ambassador to Saudi Arabia on 4 November.

Talks on reviving the JCPOA Iran nuclear deal are soon to restart, but key players in the region are deeply sceptical that a positive outcome can be negotiated. Hardliners in Tehran appear more confident, while GCC states are questioning the US commitment to the region and Israel is accelerating preparations for covert and overt conflict

 The government launched a revised timetable to balance its budget on 31 October, alongside plans to cut spending on public sector pay, raise more non-oil revenue and encourage more locals into private sector jobs. The previous aim to balance the budget by 2022 has been pushed back by two years, although economists have cautioned that further reforms will probably still be needed to reach that target.

GSN Risk Grade: C↑3↓ Recent developments Ratings downgrade: Second tier ratings agency Capital Intelligence (CI) cut long-term foreign and local currency ratings on 8 October to B+ from BB-, revising the outlook to stable from negative.

Southern governor Sheikh Khalifa Bin Ali Al-Khalifa was reappointed for a second four-year term by King Hamad Bin Isa Al-Khalifa on 6 October. Hamad met a delegation of Southern Governorate citizens at Sakhir Palace on the same day.

Minister of state Prince Turki Bin Mohammed Bin Fahd Al-Saud has been on the move again, visiting Bahrain, Kuwait and the UAE in recent weeks.

National security advisor Sheikh Nasser Bin Hamad Al-Khalifa discussed political, security and defence ties with senior UK officials on 7 October.

The UN Human Rights Council voted to end the Group of Eminent Experts (GEE) on Yemen’s mandate on 7 October. The GEE was set up in 2017 to investigate war crimes by all sides in the conflict; it has repeatedly found that air strikes by the Saudi-led coalition and actions by the Houthis may amount to war crimes.

King Hamad Bin Isa Al-Khalifa flew into Sharm El Sheikh International Airport on 16 September, at the invitation of President Abdel Fattah El Sisi.

A cross-party group of seven senators wrote to US secretary of state Anthony Blinken on 24 September to raise concerns about Bahrain’s human rights record.

The government is reportedly planning to double the rate of value-added tax (VAT) to 10%, according to a report by Bloomberg on 26 September. Government officials have confirmed that an “adjustment” of the tax will be brought in on 1 January 2022, alongside other measures designed to help reduce the budget deficit, but have yet to announce the extent of any changes.

King Hamad Bin Isa Al-Khalifa abolished the National Oil and Gas Authority (Noga) and replaced it with a Ministry of Oil, according to a royal decree dated 27 September. The ministry will take on all of Noga’s functions; all staff will be moved across. It is not clear if the changes will be accompanied by a reshuffle of senior personnel.

National security advisor Sheikh Nasser Bin Hamad Al-Khalifa and fellow Bahraini ruling family member Sheikh Mohammed Bin Salman Bin Hamad Al-Khalifa were among the riders taking part in the Crown Prince Camel Festival at Taif Camel Square, Saudi Arabia. The event that began on 8 August featured 532 races and a total prize pool of SR53m ($14.1m).

Israel has named its chargé d’affaires to the UAE Eitan Naeh as its first ambassador to Bahrain. Naeh has previously served as ambassador to Turkey and was named as the temporary head of mission to Abu Dhabi in January.