Bahrain is considering doubling value added tax to 10% to boost state revenues and reduce its budget deficit, a Bahraini parliamentary source and a source close to the government told Reuters, confirming local media reports. The government's communications office did not immediately respond to a request for comment. Bahrain's economy contracted by 5.4% last year, the International Monetary Fund has said, as the pandemic hurt vital sectors such as energy and tourism.
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