A number of gulf states said that they are considering options to financially support Bahrain, hours after the dinar currency plummeted to its lowest rates in 17 years against the US dollar on Tuesday.

Bahrain's Finance Minister, Ahmed bin Mohammed Al Khalifa, said Bahrain would repay its loans by re-borrowing amid an ongoing budget deficit.

Bloomberg said that access to a debt is helping some cash-strapped nations in the Gulf Cooperation Council kick reforms down the road.

Bloomberg, the economic news website, said that measures taken by Bahrain were not enough to stabilize its debt-to-GDP, indicating that the International monetary Fund (IMF) expects that the debt will reach 109%.

Bahrain’s government has selected banks for a planned international bond issue, sources familiar with the matter said on Wednesday.

Bahrain’s central bank governor said on Tuesday that the country’s economic growth might accelerate because of the recovery of oil prices since mid-2017, but he warned that the government needed to be careful about its budget deficit.

Bahrain raised the ceiling of public debt to an unprecedented level when it approved a law to raise the borrowing limit to 13 billion dinars, which constitutes more than 80% of state revenues.

Bloomberg, the economic news website, said in a report that emerging-market money managers are looking to identify countries that might run into trouble down the road.

Hezbollah Secretary General Sayed Hassan Nasrallah said on Friday (November 10, 2017) that Bahrain has become on the brink of bankruptcy due to what he described as “misguided Saudi policies”.

Bloomberg website specified in economic affairs revealed that Bahrain has asked Gulf allies for financial assistance as financial crisis in the country aggravates.

The final accounts of state showed that the government borrowed 6 Billion BD that exceeds its actual need to cover the fiscal deficit, without specifying where it spent them.

The prominent dissident Ibrahim Sharif warned on Wednesday (October 11, 2017) that Bahrain might face financial crisis similar to that witnessed in Greece in 2010, calling to take measures to confront the increase in governmental debt.

Bahrain's government has hired banks for a planned U.S. dollar-denominated bond issue, sources familiar with the matter said on Tuesday.

Shura Council approved in its session on Sunday (July 16, 2017) a bill that raises the public debt ceiling from 10 to 13 billion BD.

A new report of Bank of America Merrill Lynch said that Bahrain’s economic situation is not expected to improve during the coming period.

The government referred to the House of Representatives a bill to take 200 million BD from the Future Generation reserve fund.

The local Al-Ayam newspaper said that the government officially referred to the House of Representatives a bill to raise the ceiling of public debt to 13 billion BD, which is considered an unprecedented level.

Minister of Finance Ahmed bin Mohammed Al Khalifa said that the public debt has reached 9.1 billion BD until April and explained that the public debt constitutes 76% of the GDP for the year 2016.

Head of the Parliamentary Financial and Economic Affairs Committee Abdul Rahman Bu Ali said that a new draft law suggests raising the bar on the state public debt from 10 billion BD to 13 billion BD.

The Parliamentary Committee on Legislative and Legal Affairs rejected a draft law imposing a limit for the public debt not exceed 60% of the Gross Domestic Product (GDP).