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Table of Contents Section Page History 3 Cultural and Societal 5 Education 10 Business Climate 12 Government and Military 16 OVERVIEW OF BAHRAIN History of Bahrain Bahrain was once part of the ancient civilization of Dilmun and served as an important link in trade routes between Sumeria and the Indus Valley as much as 5000 years ago. Since the late 18th century Bahrain has been governed by the Al-Khalifa family, which created close ties to Britain by signing the General Treaty of Peace in 1820. A binding treaty of protection, known as the Perpetual Truce of Peace and Friendship, was concluded in 1861 and further revised in 1892 and 1951. This treaty was similar to those entered into by the British Government with the other Persian Gulp principalities. It specified that the ruler could not dispose of any of his territory except to the United Kingdom and could not enter into relationships with any foreign government other than the United Kingdom without British consent. The British promise to protect Bahrain from all aggression by sea and to lend support in case of land attack. After World War II, Bahrain became the center for British administration of treaty obligations in the lower Persian Gulf. In 1968, when the British Governmen