AGP Executive Report

Economic Diversification: Brunei’s non-oil and gas sector rose to 55% of GDP in 2025, up from 46% in 2015, while non-oil and gas exports grew from 7% to 60%. Minister Haji Abdul Manaf Haji Metussin said diversification remains central to Vision 2035, with downstream petroleum and chemicals driving much of the gain. India Trade: Brunei and India reviewed ways to expand trade, including agricultural and animal-product exports, and identified pharmaceuticals, healthcare and energy as areas for closer cooperation. Their next Joint Trade Committee meeting will be held in Brunei. Downstream Investment: Hengyi Industries has contracted Honeywell to supply technology and services for its Pulau Muara Besar expansion, which aims to raise crude-processing capacity to about 20 million tonnes a year. Regional Links: Singapore and Brunei signed a pact to strengthen essential-goods supply resilience, while Universiti Brunei Darussalam and AmiproSimpor agreed to deepen research collaboration.

Economic Diversification: Brunei’s non-oil and gas sector grew from 46% of GDP in 2015 to 55% in 2025, while non-oil exports rose from 7% to 60%. Minister Haji Abdul Manaf said diversification and resilience remain key to Vision 2035. Downstream Industry: Hengyi Industries has engaged Honeywell for technology and support for its planned Pulau Muara Besar expansion, which would raise crude-processing capacity to about 20 million tonnes a year from 8–9 million. Trade and Supply Chains: Brunei and Singapore signed a pact to strengthen essential-goods supply resilience. Brunei and India also agreed to pursue more trade in food, pharmaceuticals, healthcare and energy, with their next joint trade meeting set for Brunei. Regional Cooperation: Thailand and Brunei discussed food-trade resilience, investment and deeper cooperation in Islamic finance. Travel: Brunei citizens are among those eligible to visit the US for business or tourism under its Visa Waiver Programme.

Brunei Diplomacy: Newly appointed non-resident ambassador Siti Arnyfariza Binti Haji Mohd Jaini met Nepal’s foreign minister, with both sides discussing stronger bilateral ties. Downstream Investment: Hengyi Industries has awarded Honeywell a technology and services contract for Phase II of its Pulau Muara Besar complex, which aims to lift crude-processing capacity to about 20 million tonnes a year. Trade and Finance: Brunei and India reviewed ways to expand trade, including food, pharmaceuticals, healthcare and energy cooperation; their next Joint Trade Committee meeting will be held in Brunei. Thailand and Brunei also discussed investment, food-supply resilience and Islamic finance. Regional Risks: Smoke from Indonesian fires is spreading across Brunei and neighbouring countries, worsening air quality and prompting calls for stronger regional action. CPTPP: Brunei is among the pact’s members as the UK weighs whether Argentina’s dispute with Britain over the Falklands could affect its bid to join.

Haze: Smoke from Indonesian fires has spread to Brunei and other neighbours, worsening air quality across the region; Singapore is considering joint action against companies linked to the blazes. Downstream Investment: Hengyi Industries has tapped Honeywell for technology and engineering work on Phase II of its Pulau Muara Besar complex, planned to lift crude-processing capacity to about 20 million tonnes a year. Trade Links: Brunei and India agreed to expand cooperation in food exports, pharmaceuticals, healthcare and energy at their third Joint Trade Committee meeting, with the next session due in Brunei. Supply Security: Brunei and Singapore signed a pact covering essential supplies including food, fuel and medical products, aiming to keep trade flowing during disruptions. Economic Outlook: The IMF says Brunei, as an energy exporter, is benefiting from higher energy prices, while its 2026 growth forecast stands at 1.9 per cent.

Economic Outlook: The IMF says Brunei is among ASEAN’s energy exporters benefiting from the latest energy shock, while warning that the region needs stronger fiscal buffers against future disruptions. The Fund projects Brunei’s growth at 1.9% this year. Trade Links: Brunei and India agreed to expand trade, discussing Indian agricultural and animal-product exports, pharmaceuticals, healthcare and energy cooperation at their third Joint Trade Committee meeting. Industry: Honeywell will supply technology and engineering support for Hengyi Industries’ Pulau Muara Besar expansion, aimed at improving efficiency and boosting higher-value petrochemical production. Supply Security: Singapore and Brunei have agreed to cooperate on maintaining essential-goods supplies, including food, fuel and medical products, during disruptions.

Thailand Ties: Brunei and Thailand are exploring closer investment, food-trade and Islamic-finance cooperation, including links between their financial institutions. India Trade: India and Brunei agreed to expand trade, with agricultural goods and pharmaceuticals among the priorities, and to explore cooperation in healthcare and energy. Economic Outlook: The IMF projects Brunei’s growth at 1.9% in 2026; as an energy exporter, the country is also benefiting from higher energy prices, though the wider regional outlook remains exposed to shocks. Supply Resilience: Singapore and Brunei have agreed to strengthen the flow of essential goods, including food, fuel and medical supplies, during disruptions. Regional Connectivity: A proposed Trans-Borneo railway route would pass through Brunei, linking Sarawak’s towns, ports and industrial areas with Sabah and Kalimantan. Haze: Fires in Indonesia have affected Brunei and other neighbours, with Malaysia seeking to raise the issue at an ASEAN meeting.

Trade: India and Brunei agreed to expand bilateral commerce, with talks covering Indian agricultural and animal products, pharmaceuticals, healthcare and energy. Borneo Connectivity: A proposed Trans-Borneo Railway would run through Sarawak, enter Brunei and return to Sarawak, linking population centres, ports and industrial areas; funding and implementation plans are still under review. Supply Security: Singapore and Brunei signed a pact covering essential goods including food, fuel, crude oil and medical supplies, aiming to keep supplies flowing during disruptions. Research and Innovation: Universiti Brunei Darussalam and AmiproSimpor will explore joint research, consultancy and industry-focused innovation, alongside training and internship opportunities. Economic Outlook: The IMF projects Brunei’s economy to grow 1.9% in 2026, the slowest rate among the Southeast Asian economies listed in its forecast. Regional Cooperation: ASEAN foreign ministers are expected to discuss transboundary haze ahead of November’s Manila summit, as fires in Indonesia have affected Brunei and neighbouring countries.

Financial Resilience: The Philippines’ central bank chief warned Asian economies to guard against another financial crisis, while IMF officials highlighted ASEAN’s exposure to energy shocks and limited fiscal buffers. Brunei–Singapore Trade: The two countries signed a pact to help keep essential goods flowing during disruptions, covering food, crude oil, fuel and medical supplies. Research and Diversification: Universiti Brunei Darussalam and AmiproSimpor agreed to collaborate on research, innovation and commercialising research, with plans for training and industry placements. Regional Haze: Malaysia plans to raise transboundary haze at an ASEAN meeting ahead of next month’s summit; fires in Indonesia have affected Brunei and other neighbours.

Supply Resilience: Brunei and Singapore signed a pact on 12 October covering essential goods including food, crude oil, fuel and medical supplies. The agreement sets a cooperation framework, with practical arrangements still to come. Regional Haze: ASEAN foreign ministers are due to discuss transboundary haze next month after fires in Indonesia affected Brunei and neighbouring countries. Malaysia says it will push for haze to be addressed through regional mechanisms. Research and Innovation: Universiti Brunei Darussalam and AmiproSimpor signed an MoU to pursue joint research, consultancy and commercialisation, alongside training and internship opportunities. South China Sea: ASEAN and China missed their July deadline for a code of conduct, with disputes over its scope and legal force still unresolved.

Supply Resilience: Singapore and Brunei signed a pact to protect the flow of essential goods, including food, fuel and medical supplies, during crises. Regional Haze: Fires in Indonesia have sent haze across the region, affecting Brunei. Malaysia plans to raise the issue with ASEAN foreign ministers, saying haze is not covered by the bloc’s existing disaster response mechanisms. Research & Innovation: Universiti Brunei Darussalam and local pharmaceutical firm AmiproSimpor will explore joint research, training and commercialising research outcomes. Football: DPMM FC reached the FA Cup semi-finals after a 1-0 win over Kuala Lumpur City secured a 4-3 aggregate victory. Travel: Taiwan extended visa-free entry for Bruneians until July 31, 2027.

Supply Chain Resilience: Brunei and Singapore signed a pact covering essential goods including food, crude oil, fuel and medical supplies, reinforcing commitments under the upgraded ASEAN trade agreement. Singapore was Brunei’s fourth-largest goods-trading partner in 2025, with trade worth S$2.32 billion. DPMM’s Cup Run: Brunei’s DPMM FC reached the FA Cup semi-finals after a 1-0 win over Kuala Lumpur City secured a 4-3 aggregate victory. Research and Industry: Universiti Brunei Darussalam and local pharmaceutical firm AmiproSimpor will explore joint research, innovation and training, aiming to build skills and support economic diversification. Development Cooperation: Brunei and the Islamic Development Bank launched a country engagement framework to deepen strategic cooperation after the Sultan received the bank’s chairman. Defence Ties: Singapore and Brunei marked 50 years of defence relations with a joint military parade at Muara Naval Base, attended by Singapore’s Prime Minister Lawrence Wong and the Sultan.

Travel Access: Taiwan has extended visa-free entry for Bruneians through July 2027. Brunei also ranks ninth among 56 Commonwealth passports for travel access. Football: DPMM FC reached the FA Cup semi-finals, edging Kuala Lumpur City 1-0 to win their quarter-final 4-3 on aggregate. Diplomacy: Myanmar’s spokesperson says Indonesia and Brunei may invite leader Min Aung Hlaing for official visits, but no dates have been announced. Research and Innovation: Universiti Brunei Darussalam and AmiproSimpor signed an MoU to pursue joint research, training and industry-focused innovation. Finance: Baiduri Bank established a US$2 billion note programme to diversify funding and reach international investors. Regional Cooperation: Brunei and the Islamic Development Bank launched their first country engagement framework to deepen strategic cooperation.

Football: Brunei’s DPMM FC upset Kuala Lumpur City 1-0 away to book a place in the 2026 FA Cup semi-finals, advancing 4-3 on aggregate. Jordan Murray scored the decisive goal in the 11th minute. Research and Innovation: Universiti Brunei Darussalam and AmiproSimpor signed an MoU to pursue joint research, consultancy and industry-focused innovation, alongside internships and staff exchanges. Defence Ties: Brunei and Singapore marked 50 years of defence relations with a joint parade at Muara Naval Base, attended by Sultan Hassanal Bolkiah and Singapore Prime Minister Lawrence Wong. Banking: Baiduri Bank established a US$2 billion Euro Medium Term Note Programme to diversify funding and broaden access to international investors. Development: Brunei and the Islamic Development Bank launched their first Country Engagement Framework for 2026–2028, focused on economic diversification, private-sector development, Islamic finance and sustainable growth.

Research and Innovation: Universiti Brunei Darussalam and AmiproSimpor signed an MoU to pursue joint research, industry placements and commercialisation of research, supporting local skills and economic diversification. Defence Ties: Brunei and Singapore marked 50 years of defence relations with a joint parade at Muara Naval Base, attended by Sultan Hassanal Bolkiah and Singapore Prime Minister Lawrence Wong. Banking: Baiduri Bank established a US$2 billion Euro Medium Term Note Programme, giving it a platform to seek funding from international investors and diversify its funding sources. Development: Brunei and the Islamic Development Bank launched a 2026–2028 cooperation framework focused on economic diversification, Islamic finance, food security and small businesses. Energy Security: Brunei is among 11 countries backing an AZEC work plan to strengthen regional oil reserves and prepare for supply disruptions.

Defence ties: Singapore Prime Minister Lawrence Wong and Sultan Hassanal Bolkiah marked 50 years of defence relations at Muara Naval Base on Oct 10. A joint parade featured 256 personnel and assets from both countries’ armed forces. Banking: Baiduri Bank has launched a US$2 billion note programme to diversify funding and connect with international investors. Development: Brunei and the Islamic Development Bank launched a 2026–28 cooperation framework focused on economic diversification, Islamic finance, food security and small businesses. Regional cooperation: Brunei joined ASEAN-India talks to accelerate the review of their trade-in-goods pact, with the next meeting scheduled for January 2027. It is also among 11 countries backing a regional push to strengthen oil stockpiles. Sports rights: BeIN Sports secured exclusive Wimbledon coverage in Brunei and nine other Asian markets from 2027 through 2031.

Regional Trade: Brunei joined India and ASEAN partners in agreeing to fast-track outstanding chapters in the ASEAN-India trade pact review, with the next committee meeting set for January 2027. Energy Security: Brunei is among 11 countries backing an AZEC work programme to strengthen oil reserves and coordinate responses to supply emergencies. Borneo Business: Indonesia’s Nusantara is set to host the 2027 Borneo Economic Forum, focused on cross-border investment, connectivity and cooperation in energy and digital industries. Banking: Baiduri Bank has launched a US$2 billion note programme to diversify funding and broaden access to international investors. Development: Brunei and the Islamic Development Bank launched their first country framework for 2026–2028, targeting economic diversification, Islamic finance, food security and small-business growth.