Changes

==Economy==

==Economy==

[[File:Brunei Capital.jpg|thumb|Bandar Seri Begawan, the capital.]]

[[File:Brunei Capital.jpg|thumb|Bandar Seri Begawan, the capital.]]

Brunei’s economy has enjoyed moderate growth in the mid-2000s, primarily due to high world oil and gas prices. At 3.7% GDP growth in 2006, Brunei had the lowest rate of any ASEAN member nation. Weak oil prices, the East Asian financial crisis, and the collapse of the Amedeo Development Corporation all contributed to very low growth rates in the late 1990s and early 2000s.

Brunei's economy has enjoyed moderate growth in the mid-2000s, primarily due to high world oil and gas prices. At 3.7% GDP growth in 2006, Brunei had the lowest rate of any ASEAN member nation. Weak oil prices, the East Asian financial crisis, and the collapse of the Amedeo Development Corporation all contributed to very low growth rates in the late 1990s and early 2000s.

Brunei is the fourth-largest oil producer in Southeast Asia, averaging about 219,000 barrels a day in 2006. It also is the ninth-largest exporter of liquefied natural gas in the world. Like many oil producing countries, Brunei’s economy has followed the swings of the world oil market. Economic growth has averaged around 2.8% in the 2000s, heavily dependent on oil and gas production. Oil production has averaged around 200,000 barrels a day during the 2000s, while liquefied natural gas output has been slightly under or over 1,000 trillion btu/day over the same period. Brunei is estimated to have oil reserves expected to last 25 years, and enough natural gas reserves to last 40 years.

Brunei is the fourth-largest oil producer in Southeast Asia, averaging about 219,000 barrels a day in 2006. It also is the ninth-largest exporter of liquefied natural gas in the world. Like many oil producing countries, Brunei's economy has followed the swings of the world oil market. Economic growth has averaged around 2.8% in the 2000s, heavily dependent on oil and gas production. Oil production has averaged around 200,000 barrels a day during the 2000s, while liquefied natural gas output has been slightly under or over 1,000 trillion btu/day over the same period. Brunei is estimated to have oil reserves expected to last 25 years, and enough natural gas reserves to last 40 years.

Brunei Shell Petroleum (BSP), a joint venture owned in equal shares by the Brunei Government and the Royal Dutch/Shell group of companies, is the chief oil and gas production company in Brunei. It also operates the country's only refinery. BSP and four sister companies—including the liquefied natural gas producing firm BLNG—constitute the largest employer in Brunei after the government. BSP's small refinery has a distillation capacity of 10,000 barrels per day. This satisfies domestic demand for most petroleum products.  

Brunei Shell Petroleum (BSP), a joint venture owned in equal shares by the Brunei Government and the Royal Dutch/Shell group of companies, is the chief oil and gas production company in Brunei. It also operates the country's only refinery. BSP and four sister companies—including the liquefied natural gas producing firm BLNG—constitute the largest employer in Brunei after the government. BSP's small refinery has a distillation capacity of 10,000 barrels per day. This satisfies domestic demand for most petroleum products.  

[[File:Brunei Accommodation in Bandar Seri Begawan.jpg|thumb|left|Accommodation in Bandar Seri Begawan.]]

[[File:Brunei Accommodation in Bandar Seri Begawan.jpg|thumb|left|Accommodation in Bandar Seri Begawan.]]

The French oil company Total (then known as ELF Aquitaine) became active in petroleum exploration in Brunei in the 1980s. The joint venture Total E&P Borneo BV currently produces approximately 35,000 barrels per day and 13% of Brunei’s natural gas.  

The French oil company Total (then known as ELF Aquitaine) became active in petroleum exploration in Brunei in the 1980s. The joint venture Total E&P Borneo BV currently produces approximately 35,000 barrels per day and 13% of Brunei's natural gas.  

In 2003, Malaysia disputed Brunei-awarded oil exploration concessions for offshore blocks J and K (Total and Shell respectively), which led to the Brunei licensees ceasing exploration activities. Negotiations between the two countries are continuing in order to resolve the conflict. Two on-shore blocks are being explored following awards to two consoria—one Canadian-led and the other an Australian-led operating consortium. Australia, Indonesia, and Korea were the largest customers for Brunei's oil exports, taking over 67% of Brunei's total crude exports. Traditional customers Japan, the U.S., and China each took around 5% of total crude exports.  

In 2003, Malaysia disputed Brunei-awarded oil exploration concessions for offshore blocks J and K (Total and Shell respectively), which led to the Brunei licensees ceasing exploration activities. Negotiations between the two countries are continuing in order to resolve the conflict. Two on-shore blocks are being explored following awards to two consoria—one Canadian-led and the other an Australian-led operating consortium. Australia, Indonesia, and Korea were the largest customers for Brunei's oil exports, taking over 67% of Brunei's total crude exports. Traditional customers Japan, the U.S., and China each took around 5% of total crude exports.  

Companies in Brunei must either be incorporated locally or registered as a branch of a foreign company and must be registered with the Registrar of Companies. Public companies must have a minimum of seven shareholders. Private companies must have a minimum of two but not more than 50 shareholders. At least half of the directors in a company must be residents of Brunei.  

Companies in Brunei must either be incorporated locally or registered as a branch of a foreign company and must be registered with the Registrar of Companies. Public companies must have a minimum of seven shareholders. Private companies must have a minimum of two but not more than 50 shareholders. At least half of the directors in a company must be residents of Brunei.  

The government owns a cattle farm in Australia through which the country’s beef supplies are processed. At 2,262 square miles, this ranch is larger than Brunei itself. Eggs and chickens are largely produced locally, but most of Brunei's other food needs must be imported. Agriculture, aquaculture, and fisheries are among the industrial sectors that the government has selected for highest priority in its efforts to diversify the economy.  

The government owns a cattle farm in Australia through which the country's beef supplies are processed. At 2,262 square miles, this ranch is larger than Brunei itself. Eggs and chickens are largely produced locally, but most of Brunei's other food needs must be imported. Agriculture, aquaculture, and fisheries are among the industrial sectors that the government has selected for highest priority in its efforts to diversify the economy.  

Since 2002, the government has worked to develop Brunei as an international offshore financial center as well as a center for Islamic banking. Brunei is keen on the development of small and medium enterprises and also is investigating the possibility of establishing a "cyber park" to develop an information technology industry. Brunei has also promoted ecotourism to take advantage of the over 70% of Brunei’s territory that remains primal tropical rainforest.  

Since 2002, the government has worked to develop Brunei as an international offshore financial center as well as a center for Islamic banking. Brunei is keen on the development of small and medium enterprises and also is investigating the possibility of establishing a "cyber park" to develop an information technology industry. Brunei has also promoted ecotourism to take advantage of the over 70% of Brunei's territory that remains primal tropical rainforest.  

*GDP (2006 est.): U.S. $12.582 billion.

*GDP (2006 est.): U.S. $12.582 billion.

*Growth rate (2006 est.): 3.7%.

*Growth rate (2006 est.): 3.7%.

After Sultan Hassan, Brunei entered a period of decline due to internal battles over royal succession as well as the rising influences of European colonial powers in the region that, among other things, disrupted traditional trading patterns, destroying the economic base of Brunei and many other Southeast Asian sultanates. In 1839, the English adventurer James Brooke arrived in Borneo and helped the Sultan put down a rebellion. As a reward, he became governor and later "Rajah" of Sarawak in northwest Borneo and gradually expanded the territory under his control.  

After Sultan Hassan, Brunei entered a period of decline due to internal battles over royal succession as well as the rising influences of European colonial powers in the region that, among other things, disrupted traditional trading patterns, destroying the economic base of Brunei and many other Southeast Asian sultanates. In 1839, the English adventurer James Brooke arrived in Borneo and helped the Sultan put down a rebellion. As a reward, he became governor and later "Rajah" of Sarawak in northwest Borneo and gradually expanded the territory under his control.  

Meanwhile, the British North Borneo Company was expanding its control over territory in northeast Borneo. In 1888, Brunei became a protectorate of the British Government, retaining internal independence but with British control over external affairs. In 1906, Brunei accepted a further measure of British control when executive power was transferred to a British resident, who advised the ruler on all matters except those concerning local custom and religion. This arrangement continued – apart from a period of Japanese occupation between 1941–1945 – until Brunei’s transition to independence began in 1959.  

Meanwhile, the British North Borneo Company was expanding its control over territory in northeast Borneo. In 1888, Brunei became a protectorate of the British Government, retaining internal independence but with British control over external affairs. In 1906, Brunei accepted a further measure of British control when executive power was transferred to a British resident, who advised the ruler on all matters except those concerning local custom and religion. This arrangement continued – apart from a period of Japanese occupation between 1941–1945 – until Brunei's transition to independence began in 1959.  

In 1959, a new constitution was written declaring Brunei a self-governing state, while its foreign affairs, security, and defense remained the responsibility of the United Kingdom. An attempt in 1962 to introduce a partially elected legislative body with limited powers was abandoned after the opposition political party, Parti Rakyat Brunei, launched an armed uprising, which the government put down with the help of British forces. In the late 1950s and early 1960s, the government also resisted pressures to join neighboring Sabah and Sarawak in the newly formed Malaysia. The Sultan eventually decided that Brunei would remain an independent state.  

In 1959, a new constitution was written declaring Brunei a self-governing state, while its foreign affairs, security, and defense remained the responsibility of the United Kingdom. An attempt in 1962 to introduce a partially elected legislative body with limited powers was abandoned after the opposition political party, Parti Rakyat Brunei, launched an armed uprising, which the government put down with the help of British forces. In the late 1950s and early 1960s, the government also resisted pressures to join neighboring Sabah and Sarawak in the newly formed Malaysia. The Sultan eventually decided that Brunei would remain an independent state.