By PRIME SARMIENTO in Hong Kong | China Daily Global 

Brunei has been keen to attract Chinese investment and strengthen bilateral cooperation, which is in line with the country’s thrust to diversify its economy, analysts say.

On Oct 26, the two countries launched a hybrid rice senior expert consultant project in the capital city of Bandar Seri Begawan to promote hybrid rice technology in Brunei.

Under this agricultural cooperation, experts from China’s Yuan Longping High-Tech Agriculture Company, Hunan Hybrid Rice Research Center and Hunan Agricultural University held a series of lectures on hybrid rice breeding, pest and disease management, soil improvement and rice fertilization.

Chinese Ambassador to Brunei Xiao Jianguo said the project will contribute significantly to the growth of Brunei’s rice industry and food security, Xinhua News Agency reported.

Mustafa Izzuddin, a senior international affairs analyst with Solaris Strategies Singapore, said that China considers Brunei an important partner, not only as a founding member of the Association of Southeast Asian Nations but also for its vast oil and gas sector, which is integral to the China-proposed Belt and Road Initiative.

Brunei is keen on Chinese investment, Mustafa said, adding that it is focusing on diversifying its economy long dominated by the oil and gas industry.

Mustafa said the hybrid rice project aligns with Brunei’s plans as outlined in Wawasan Brunei 2035 (Brunei Vision 2035).

Introduced in 2007, Wawasan Brunei 2035 is a long-term development plan that aims to reduce the economy’s dependence on the petroleum industry.

Attracting more foreign direct investment is key to attaining Brunei’s ambition and this is where Chinese investments have played a huge role.

As a small nation with a population of just over 450,000, Brunei is not on most investors’ radars but it is also one of the wealthiest countries in Asia.

The World Bank classifies Brunei as a high-income economy, with GDP per capita over $33,000 in 2023.

“Brunei has an important place in ASEAN, not only because it is the original member, but more importantly, it is a very rich country,” said James Chin, a professor of Asian Studies at the University of Tasmania in Australia.

Chin said that Brunei “has built very deep relations with China” in the past few years.

Brunei established diplomatic relations with China in 1991 and elevated the ties to a strategic cooperative relationship in 2013.

Economic ties have strengthened in the succeeding years.

The establishment of the Brunei-Guangxi Economic Corridor in 2014 has driven Chinese companies to invest in various Brunei industries including food processing, pharmaceuticals and logistics.

Brunei also regularly joins trade events such as the annual China-ASEAN Expo and the China International Travel Mart.

In 2017, Brunei’s state-owned Darussalam Assets partnered with China’s Guangxi Beibu Gulf International Port Group to operate Muara Port, Brunei’s biggest container terminal.

Published Date: November 6, 2024