BANDAR SERI BEGAWAN (Xinhua): The oil and gas industry will continue to dominate Brunei's economy, with substantial contributions anticipated from the downstream oil sector, Brunei's top think tank has announced.
In its Economic Outlook for 2025, Brunei's Centre for Strategic and Policy Studies said the downstream oil sector is expected to accelerate, boosting its contribution to growth and exports, particularly as the second phase of the Hengyi plant, which is a joint petrochemical venture between Brunei and China, is set to start construction this year.
Additionally, the completion of foreign direct investment projects in logistics, aviation, and manufacturing is expected to attract increased private sector investments, primarily in the service sectors.
These developments are likely to provide strong support for growth beyond 2025, potentially breaking the steady-state growth path and pushing it to a higher 3 percent by 2026.
In 2024, Brunei's economy expanded by a strong 4.2 percent growth rate, driven by recovery of the oil and gas sector, which had been in decline since 2020. - Xinhua
