Brunei

1. Brunei

2. Brunei Statistics and History • 390,000 citizens with regions second highest gross national income per capita at $26,930 • 70% are ethnically Malay, 20% are Chinese, and 10% non-Muslim ethnic groups • Internal self government in 1959 • A.M. Azahari revolted in 1962 trying to create a federation of Brunei, Sabah, Sarawak – within two days the rebellion was crushed – state of emergency still in place • Political stability and development occurred because of oil reserves – creating “Shellfare state” • National ideology is Malay Islamic Beraja • Revived legislative council in 2003 and passed constitutional amendments – waiting to hold polls

3. Institutions and Social Groups • Sultanate – Sultan Sir MudaHassanalBolkiah – state employees 2/3 of Brunei’s work force – no distinction between wealth of state and of sultan – sultan acts as Prime Minister, Defense Minister and oversees government bureaucracy – Sultan is immune to any form of legal prosecution – Sultan richest man in the world – Law suit against Prince Jefri – Heir apparent is Prince Abdul Muntaquim • Military – Royal Brunei Armed Forces 4,500 troops augmented by a brigade of Gurkhas - Contributes peacekeepers to various missions – higher proportion of income spent on defense than other ASEAN states • Political Parties – Brunei’s Peoples Party (eliminated after the 1962 A.M. Azahari rebellion); National Democratic Party (eliminated after calling for elections and requesting sultan to give up position as prime minister); Brunei Solidarity National Party (only legal party as of 1995)

4. Democratization • Absolute monarchy • 1984 reform suspended parliamentary institutions • Non-elected appointees to Legislative Council can participate in constitutional amendments and policy decisions at the Sultan’s behest • Up to a third of membership may be elected • Elected village leaders have some role in administering state funds but not in policy process • Civil liberties are constrained and censorship impacts scholarship and journalism • Freedom House ranks Brunei as not free

5. Economic Development • Oil and natural gas account for 90% of Brunei’s exports • Reserves could disappear in 20-30 years • Imperative to diversify • Formal plans to develop pharma, cement, steel, chemicals, ceramics, and high technology were deployed in the nineties – garment industry failed after global quotas were eliminated – Drawn interest from foreign investor for industrial park aimed at a downstream petrochemical industry • 40 percent of workforce is made up of foreigners • Eco-tourism and Islamic finance (not ideal location and competition from Malaysia are limiting factors)

6. The Bruneian State • The state and the sultan are an identity • Leadership of Islamic community bolsters sultan’s legitimacy • No massive social dislocation; last major disruption occurred in 1962 during Azahari revolt • Britain has stationed a brigade of Gurkhas on the island thus intimidating would be dissidents • Significant officials, technocrats, and military officers are directly or indirectly related to Sultan • Chinese community is loyal to Sultan

7. Foreign Policy • After full independence in 1984, Brunei joined ASEAN and focuses on security attained through international legitimacy and expanding economic relations • Brunei was involved in Irangate through a donation of 10 million dollars for humanitarian purposes in Central America • Pro West bias include supporting liberation of Kuwait and cooperating on intelligence in the War against terror • Free trade agreement with Japan that provides market for 90% of Brunei’s liquefied natural gas and joined in Trans-Pacific Economic Partnership, a free-trade body inclusive of Brunei, Singapore, Chile, and New Zealand aiming to eliminate all tariffs between members by 2015

8. Conclusion • Brunei’s Monarchy is an anachronism is Southeast Asia • Resembles Middle Eastern Monarchy • Sustained by oil wealth