Main article: Demographics of Bahrain
The official religion of Bahrain is Islam , with the majority of the population practicing Islam. However, due to an influx of immigrants and guest workers from non-Muslim countries, such as the Philippines and Sri Lanka, the overall percentage of Muslims in the country has declined in recent years. According to the 2001 census, 81.2% of Bahrain's population was Muslim (70% Shi'a and 30% Sunni ), 9% were Christian , and 9.8% practiced other Asian or Middle Eastern religions.

Bahrain from space, June 1996 ss
Recently, Bahrain has transformed into a cosmopolitan society with mixed communities: two thirds of Bahrain's population consists of Arabs , while the rest are immigrants and guest workers largely from Iran , South Asia and Southeast Asia . A Financial Times published on 31 May 1983 found that "Bahrain is a polyglot state, both religiously and racially. Leaving aside the temporary immigrants of the past 10 years, there are at least eight or nine communities on the island."
The present communities may be classified as Al-Khalifa, Arab tribes allied to Al-Khalifa known historically as the Auttubs, the Baharanies Sunni and Shia Arabs (from the main Arabs land), the Howilla (Sunni Arabs and Persians from Persia), Ajam (ethnic Persian Shia), Indians who traded with Bahrain and settled before the age of oil (used to be called Hunood or Banyan), a tiny Jewish community, and a miscellaneous grouping.
Background: Bahrain's small size and central location among Arabian Gulf countries require it to play a delicate balancing act in foreign affairs among its larger neighbors. Facing declining oil reserves, Bahrain has turned to petroleum processing and refining and has transformed itself into an international banking center. Sheikh HAMAD bin Isa Al Khalifa, who came to power in 1999, has pushed economic and political reforms. In February 2001, Bahraini voters approved a referendum on the National Action Charter - the centerpiece of Sheikh HAMAD's political liberalization program. In February 2002, Sheikh HAMAD pronounced Bahrain a constitutional monarchy and changed his status from amir to king. In October 2002, Bahrainis elected members of the lower house of Bahrain's reconstituted bicameral legislature, the National Assembly.