Brunei Darussalam

For Brunei Darussalam 2010 was a year of consolidation and building for the future. The economy has emerged from two years of negative growth amidst the fallout from the global financial crisis, and there are projections of better things to come in 2011.

Brunei’s halal manufacturing industry is looking at 2011 as its breakthrough year, with the sector aiming to greatly expand both its range of products and the overseas markets its sells to, though there are still some challenges to be met before the full benefits of the groundwork that has been laid can be reaped.

The first successes of the recently established free trade agreement (FTA) between Brunei and India have become evident, with Indian experts identifying the Sultanate’s construction sector as a promising area for trade expansion. The sector offers Indian firms a chance to tap into one of the Bruneian economy’s major growth drivers, with a swathe of major construction projects either under way or on the drawing board.

The 17th ASEAN summit in Hanoi in October saw Brunei Darussalam taking steps to improve economic ties with several of its partners in the 10-member organisation, as well as with non-member states. The summit, the second held under Vietnam’s chairmanship, came at a crucial time for ASEAN as it seeks to build more internal economic integration while also strengthening its geostrategic role.

Brunei Darussalam’s reputation as a champion of environmental protection and natural resource management is proving a boon as the country enters the “value-added timber” market, meaning timber that is already processed into goods.

Brunei’s economy appears set for a period of consolidation and moderate if steady growth as the government combines careful management of energy resources with timely investments aimed at spurring expansion in the coming years.