Enterprise And Market Overview On Brunei
Brunei’s economic system depends on oil and gas and is the third largest producer of crude oil in Southeast Asia after Indonesia and Malaysia. Brunei is also the world’s fourth largest producer of pure gasoline. Brunei’s present oil and gas reserves are sufficient at the least until 2015. Thus, Brunei’s authorities has used its oil wealth for investments outside the country for future generations. Furthermore, the federal government seeks to develop the nation’s economic system past on oil and fuel but with little success.
Brunei’s GDP was US$5.2 billion with a GDP per capita of US$13,879 in 2004. The economy grew at a median GDP growth of three.0% yearly from 2000 to 2004 driven mainly by Brunei’s export of oil and fuel and due to this fact dependent by world oil and gasoline costs. Inflation was less than 1.5% in 2000-2001, expertise deflation in 2002-2003 however inflation finally crept at 0.9% in 2004. The government is Brunei’s largest employer and lots of its residents desire to work with the government. The nation skilled rising unemployment from 2002 to 2004 but remained beneath 5.0%.
The industrial sector (mainly oil and gasoline associated actions) contributed in the direction of 56.1% of Brunei’s GDP in 2004. The service sector contributed in direction of forty.Three% whereas the agriculture sector contributed only three.6% through the period. Foremost industries are petroleum, petroleum refining, liquefied pure fuel and construction. Major agriculture products embody rice, vegetables, fruits, hen and eggs.
DEMOGRAPHY. Brunei has a small population of barely greater than 370 thousand. Brunei Malays are the biggest ethnic group and account for nearly 70% of population followed by Chinese accounting for 15%. Others include indigenous individuals and immigrants who have settled within the country. Islam is the official religion of the nation and 70% of the inhabitants practice the Muslim faith. Different religions include Buddhism, Christianity and indigenous practices. The official language is Malay while Brunei’s Chinese community typically used the Chinese language language throughout the community. The population is generally proficient in English since schools educate the language and utilized in greater schooling, enterprise and the sciences.
Three quarters or seventy five% of the population reside within the city areas and principally work in authorities companies, oil and gasoline business, wholesale and retail commerce and construction. Major urban areas embrace the nation’s capital Bandar Seri Begawan, Muara, Tutong, Seria and Point Kuala Belait.
Poverty is practically non-existent in the oil rich nation of Brunei. Brunei’s GDP per capita is half of Singapore but based on buying power parity (PPP) it is barely less than Singapore. Almost 70% of the households belong to the middle or high-income classes while the remaining 30% in the decrease-revenue category.
INFRASTRUCTURE. Telecommunication providers inside the nation well developed while reliability of providers outside from Brunei is good. Web entry is offered throughout many parts of the nation but broadband companies are limited. Towns effectively linked by roads and crosses the border into East Malaysia. Nation served by single worldwide airport at Bandar Seri Begawan.
Worldwide Trade. Main trading partners include Japan, South Korea, Australia, petroleum products inc US, Thailand, Indonesia, China, Singapore and Malaysia. Much of the imports from Singapore are Singapore’s re-exports from different nations. Major exports include crude oil, natural gas, refined petroleum merchandise. Main imports embody machineries and equipments, vehicles and car components, consumer goods, foods, building materials and chemicals.
Consumer Usage OF Technology. Almost all homes in Brunei have fixed-line telephones and the penetration of cell phones by population was 40% in 2004. Brunei’s normal population have the financial means to put in computers in their properties but the penetration in petroleum products inc homes is low at 20%. Penetration of internet customers is also low at 9% of the inhabitants or 34,000 users. However, nearly all properties in Brunei have televisions and refrigerators.
RETAIL MARKET. Entrepreneurs into Southeast Asia often neglect Brunei as a potential market due to its small consumer population. However, the country has the second highest GDP per capita in the region after Singapore and will depend on imports for nearly all of its shopper items and foods. The estimated worth of Brunei’s retail market in 2004 was US$390 million in 2004 of which foods accounted for practically US$280 million. The “mom and pop” stores and mini markets dominate the retail trade alongside a few department stores and supermarkets. Consumers in Brunei often shop cross the border into Malaysia for wider choices of consumer goods.
Meals Culture. Foods eaten by the Malays are typically rice with spicy meat and Petroleum Refinery Equipment Project Performance vegetable dishes. Nonetheless, the people of Brunei are accustomed to Indian foods due to the numerous small Indian eateries across the nation. Thus, homes often serve fish, rooster or beef curry dishes. Widespread meals service institutions embrace Chinese language, Indonesian, Indian, Thai and Japanese eating places but interestingly few Malay eating places. Among the younger technology, many are accustomed to western model foods served by the quick food retailers and bakeries.