Tackling natural resource depletion an revenue decline through diversification: the case of Brunei Darussalum

Exports of hydrocarbons have been a great boon to the small state of Brunei Darussalam and, as such, this paper argues that it provides an example of a country that has not been overly afflicted by the “resource curse” or “Dutch disease”. But it has been adversely affected by oil and gas price volatility that inevitably has a profound impact on hydrocarbon exporters, despite resorting to futures markets. Given Brunei’s minimal non-hydrocarbon tradable sectors, and like all other countries that are heavily reliant on the export of hydrocarbons, it is confronted by the iron law of resource deple... Mehr ...