Brunei Extends Economic Downturn in Q1

2025-07-05 03:29 By Farida Husna 1 min. read

Brunei’s economy shrank 1.8% yoy in Q1 of 2025, deepening from a 1.3% fall in the prior period and marking the sharpest yearly contraction since Q2 2023.

The services sector fell (-0.6% vs 4.8% in Q4), ending a three-quarter expansion streak due to declines in health, land, and other transport services.

Further, agricultural output plunged (-11.7% vs 3.6%), hit by weakness in forestry, fisheries, and various crops.

Meanwhile, industrial output continued to drop, albeit at a slower rate (-2.5% vs -5.2%), led by falls in other manufacturing, utilities, and LNG and petroleum production.

On the expenditure side, fixed investment decreased sharply (-13.3% vs -4.4%) amid a steep deterioration in household spending (-3.0% vs 1.0%) and steady growth in government spending (at 0.8%).

On the trade front, exports fell 10.4%, with imports slipping 11.6%.

On a quarterly basis, GDP shrank 5.1%, reversing a 5.9% increase in Q4.

In 2024, the economy grew 4.2%, up sharply from 1.1% in a year before.



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