US President Donald Trump tweeted the news after he spoke by phone to both Bahrain's King Hamad bin Isa Al Khalifa and Israeli Prime Minister Benjamin Netanyahu, the White House said.
"This is a historic breakthrough to further peace in the Middle East," the United States, Bahrain and Israel said in a joint statement.
"Opening direct dialogue and ties between these two dynamic societies and advanced economies will continue the positive transformation of the Middle East and increase stability, security, and prosperity in the region," it said.
The United Arab Emirates last month agreed to normalise ties with Israel under a US-brokered deal.
That deal is scheduled to be signed on 15 September at a White House ceremony hosted by Mr Trump and attended by Israeli Prime Minister Benjamin Netanyahu and UAE Foreign Minister Sheikh Abdullah bin Zayed al-Nahyan...
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