Law No. 7 of 2003 provides a framework for effective protection of trade secrets.

There is an obligation for passive infrastructure sharing in Bahrain to deliver telecom services to end users. Moreover, passive infrastructure sharing is practised in the mobile and fixed sectors based on commercial agreements.

Batelco, the former incumbent telecom operator, underwent a structural separation in 2019 into a wholesale infrastructure unit (BNET) and a retail operator (Batelco). The process for completing the full internal systems and organisational separation is underway, according to Resolution No. 17, Promulgating the Fifth National Telecommunications Plan. The Fifth Telecommunications Plan adopted in 2020 provides that BNET will become the sole fibre network infrastructure company over time. Batelco is partly owned by the government. As reported in 2020, Mumtalakat Holding Company and Social Insurance Organisation, both of which are associated with the Bahraini government, own more than 55% of the shares.

While it is reported that Bahrain has established accounting separation by law for operators with significant market power, functional separation for operators with significant market power is not required by law. Nevertheless, Resolution No. 17, Promulgating the Fifth National Telecommunications Plan, shows that the government is finalising the implementation of the structural separation of Batelco (the former incumbent) into a wholesale infrastructure unit (BNET) and a retail operator (Batelco).

The Legislative Decree No. 36 of 2002 establishes a public procurement regime in Bahrain. The Decree distinguishes between local tenders and international tenders. Local tenders are limited to suppliers or contractors authorised to conduct business activities in the Kingdom of Bahrain according to the applicable laws and regulations. International tenders are open to both local suppliers and contractors, and international suppliers and contractors who are unregistered in the Kingdom may participate. According to Art. 19 of the Decree, the criteria for the distinction between local and international tenders shall be based on the nature of goods, constructions or services required to be purchased, the volume thereof, the extent of their complexity and the standards required. The Board shall be empowered to determine the reasons for the selection of an international tender based on such criteria.

The Cabinet’s Resolutions No. 2416-06 of 2017 allocates a 20% share of the value of government procurements and tenders to SMEs and grants them a 10% preference in the biddings of service facilities for all public tenders, except for those of a special nature. The classification criteria through the size of the enterprises, which are available in the SMEs Registration System, exclude a branch of a foreign company from the SMEs classification. The SMEs Registration System is a window launched under the Resolution to enable SMEs to apply for classification certificates according to their size.

It is reported that price preferences are given in public procurement to goods produced in Bahrain and in other Gulf Cooperation Council (GCC) member States, provided that the prices of these goods are within specified margins of the value of their imported equivalents. These are 10% for goods produced in Bahrain and 5% for goods produced in the GCC.

Bahrain is not a party to the World Trade Organization (WTO) Agreement on Government Procurement (GPA). However, the country has been an observer of the WTO GPA since 2008.

The Legislative Decree No. 21 of 2001 (the Commercial Companies Law), last amended in 2018, provides for the incorporation of companies with up to 100% foreign capital, except for certain business activities that are reserved for Bahraini nationals and companies. The Ministry of Industry, Commerce, and Tourism (MoICT) maintains a small list of business activities restricted to Bahraini ownership, which do not include any sector relevant for digital trade.

Under the Legislative Decree No. 21 of 2001, all investments and transactions in Bahrain are subject to a screening process conducted by the Ministry of Industry, Commerce, and Tourism (MoICT). Investments and transactions must comply with national security and public order requirements. Over the past year, the Ministry of the MoICT has required companies to disclose the ultimate beneficial owner of their shareholders, who own at least 10% of the share capital.

Patent applicants must appoint a local agent if the applicant is not a resident of Bahrain. Any attorney or lawyer registered to practice before the Patent Office can act as an agent. Art. 5 of Law No. 1 of 2004 in respect of the Patent and Utility Module provides that: "any natural or legal person shall be entitled to file a patent application and acquire the subsequent rights ensuing therefrom subject to the provisions of this law. Eligible applicants may be nationals of the Kingdom, nationals of countries that are members of the World Trade Organization (WTO), or nationals of any other country who enjoy national treatment."

Bahrain is a signatory of the World Trade Organization (WTO) Information Technology Agreement (ITA) of 1996 but is not a signatory of its 2015 expansion (ITA II).

According to Art. 7 of the Payment Instruments Regulation, a payment institution can only issue payment instruments in Bahamian dollars and issue a payment up to BSD 15,000 (approx. 15,000 USD). According to Art. 2, a payment instrument is any tangible or intangible instrument that enables a person to obtain money, goods, or services or otherwise make a payment or transfer money. As a result, this regulation also affects online payments.

The Bahamas does not implement any de minimis threshold, which is the minimum value of goods below which customs do not charge duties.