ECONOMIC HISTORY OF BRUNEI DARUSSALAM, 1906-2011

The Brunei economy has gone through significant changes throughout the period from 1900 to present. The resources as well the economic activity had gone through tremendous changes in their contribution towards the national income. As such, this paper will explain the background and the history of Brunei economy. It expounds the history of Brunei economy before 1906 or the traditional period, the Brunei economy during the British Resident administration (1906-1941), the Brunei economy during the Japanese occupation (1941-1945), the Brunei economy during the administration of British Resident (1946-1959), the Brunei economy during self-government (1959-1983) and finally the progress in Brunei economy post independence (1984-2011). Emphasis will be given to the development of oil and gas industry (oil sector) which plays an important role in the development of Brunei economy since its finding. Emphasis is also given to the contribution of the export from oil sector towards Brunei economy and its implications for the non-oil sector. This includes several economic resources that initially were main export commodities of Brunei which subsequently declined and no longer contribute towards the economy of Brunei. The trends of contribution for oil and non-oil sector to the Brunei economy is also analysed.