The doctor, who was not identified, was accused of sexually touching a Moroccan woman while examining her.
He pleaded not guilty at the High Criminal Court and was earlier released on bail with a travel ban.
The 25-year-old woman said she suffered from stomach pain when she visited a private clinic in Riffa.
A nurse, who was present while the woman was examined, told prosecutors the doctor did nothing wrong.
The defendant was acquitted yesterday due to lack of evidence, Gulf Daily News reported.
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"The victim's husband had accompanied her at the clinic and the only thing that separated him from his wife was a curtain.
"Investigations revealed that he did not suspect anything, while he stood near his wife, but was later told that she was molested.
"The defendant continued to plead not guilty and the nurse that accompanied him during the medical examination said that he did not do anything wrong," according to the documents.
"Therefore, the court ruled that the defendant just medically examined the woman and nothing more.