Localising and developing the ever-growing Blockchain technology industry could lead to a monumental growth in Bahrain’s economy, experts said at a seminar recently organised by NGN Training Center in the kingdom.

Global studies show that the technology market is growing steadily, with the Blockchain technology market expected to grow from $ 210 million in 2016 to $ 2.3 billion by 2021, a cumulative annual growth rate of more than 60 percent. Participants recommended that the Blockchain technology industry be localized and developed rapidly in Bahrain to stimulate the Kingdom’s economic growth.

CEO of NGN Yaqoob Al Awadhi said: “Entrepreneurs, investors, government officials and private institutions must come up with a strategy so Bahrain can benefit from this technology in the best way possible. They must discuss the opportunities and challenges arising from Blockchain technology, and its diverse applications ranging from trade and payments to security and legal ownership.”

He stressed the importance of taking advantage of Bahrain's leadership in launching the fifth generation communication (5G) technology, its advanced laws and regulations, and qualified national competencies.

“These factors will collectively contribute to creating an environment conducive to making the Kingdom a regional hub for the development of Blockchain, in addition to the Kingdom’s successes achieved in localising the financial technology (FinTech) industry,” said Al Awadhi.

In order for the industry to grow steadily in the Kingdom, the specialised technology should be developed in line with the needs of Bahrain’s private and public institutions.

“NGN's seminar on Blockchain is part of the company's efforts to support the digital transformation in the Kingdom of Bahrain, and strengthen our partnership with leading national institutions seeking to invest in this modern technology to enhance their performance,” said Al Awadhi.

NGN provides long-term solutions to the business sector in Bahrain, Saudi Arabia and around the world based on information technology, consulting, information security, networking, virtual reality, 3D solutions and advanced technologies such as cloud computing and Blockchain.

Head of e-Banking at BBK, Hassan Al Shehabi said: “The financial services sector is most likely to be affected by this new technology. Hence, I have been exploring ways through which Blockchain can change the approach of regional banks to trade, settlement, and asset and investment management; recognizing that this new technology could lead to greater efficiency, security, reliability and speed.”

The president's advisor for Strategy and Development at the University of Bahrain, Cameron Mirza, said: “However, despite its momentum and promising potential of growth with this technology, there are some sources that warn of certain factors that hinder the growth of this technology. This includes the lack of international standards and technology standards, since it would require a radical change in the procedures, laws and policies which could hinder their development.” – TradeArabia News Service