Bahrain’s legislators are pushing for stricter legal controls on foreign investors, commercial registration (CR) holders, and workers under the Flexi Visa system to ensure they do not leave the country without settling outstanding dues.
Five MPs, led by Strategic Thinking Bloc spokesman Khalid Bu Onk, have submitted an urgent proposal urging the government to implement tougher measures to address this issue.
The proposal – listed on the parliamentary agenda yesterday – was postponed until next week after the meeting ended abruptly.
In the explanatory memorandum accompanying the motion, the MPs noted a recent surge in cases where foreign investors and workers have left the country without settling debts owed to government agencies and private sector entities.
They said this trend is causing irrecoverable financial losses and eroding confidence in the investment climate.
The MPs stressed that small and medium enterprises (SMEs) are the most vulnerable to such practices. They noted that many SMEs are unable to recover dues once debtors flee the country, which ‘directly impacts their growth’ and undermines national efforts to support entrepreneurship.
They alleged that the ease of opening a commercial registration or operating through the Flexi Visa system without firm exit controls has allowed some individuals to exploit regulatory loopholes and escape contractual obligations.
The proposal highlights the wide-ranging financial claims left behind by violators, including unpaid rents, bank financing instalments, government fees and fines. Such unresolved liabilities damage confidence in the local market and raise concerns about the sustainability of fair business practices, the MPs said.
Mr Bu Onk stressed that stricter measures are needed to protect the integrity of Bahrain’s commercial environment.
“We cannot allow individuals to enter the market, accumulate debts and leave the country without any accountability,” Mr Bu Onk said.
“This behaviour harms business owners, especially SMEs, and weakens confidence in Bahrain’s investment climate.”
He added that the bloc supports imposing additional legal checks – within the scope of existing laws – to ensure debts are settled before final departure.
“What we are calling for is not a restriction on investment, but the protection of the rights of all parties,” he noted.
“Strengthening these controls will safeguard the market, prevent exploitation of the Flexi Visa system and preserve Bahrain’s reputation as a safe and reliable business hub.”
Mr Bu Onk also emphasised that the proposal seeks to enhance legal procedures, not hinder legitimate investors.
“Serious investors have nothing to fear,” he added. “These measures simply close the loopholes that allow some to misuse the system and hurt others.”
The proposal will be revisited in next week’s parliamentary session, where MPs are expected to push for faster government action to address the growing problem of unpaid debts left by departing foreign investors and workers.
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