Executive summary

On 29 December 2025, Bahrain's Crown Prince and Prime Minister announced an increase in the visa issuance fees, health care fees and monthly contributions for employees' work permits, effective 1 January 2026. The revised fees are based on the recommendation of the country's Labour Market Regulatory Authority (LMRA).The revised rates will apply to both new issuances and renewals and will gradually increase over a four-year period through 2029. There are no changes to dependent visa fees or other entity issuance/renewal fees. The changes aim to rebalance the labor market and support the sustainability of public services. It is important to note that domestic workers are excluded from these changes.

Background

The LMRA periodically reviews its fee structure for work permits and related contributions. The latest adjustments reflect higher costs for obtaining and renewing work permits for foreign employees, as well as increased monthly contributions from employers. These changes are intended to align with Bahrain's evolving labor market and economic priorities.

Key developments

The visa issuance fees and health care fees have been increased for both new and renewal work permits, with annual increments through 2029.

In addition, employers will pay higher monthly contributions based on the number of foreign workers employed.

There are no changes to dependent visa fees and other entity issuance/renewal fees.

New work permit issuance and renewal rates based on permit durations (BHD)

New monthly contributions rates based on the number of employees (BHD)

Impact on employers

Employers should update their human resources (HR) and finance budgets to reflect increased costs for work permits and monthly contributions as well as communicate changes to HR, payroll and relevant business units to ensure compliance and avoid delays.

Implications

Employers in Bahrain should anticipate higher costs for hiring and retaining foreign employees. These changes may affect overall employment budgets and workforce planning for 2026 and beyond, and employers should monitor LMRA announcements for further clarifications or required procedural updates.