Consumer Prices Increased

In 2022, the Brunei Darussalam’s economy is expected to expand by 1.8 percent, 4.1 percent and 4.5 percent by several international agencies. The positive forecast takes into account the growing potential of several economic sectors in the country including the food, fertiliser, and chemical industries. However, the drastic decline of global economic activity due to the COVID-19 pandemic has made an impact on the country’s economy.

 

According to the ‘Brunei Economic Update’ report for August published by the Centre for Strategic and Policy Studies, CSPS, in the first quarter this year, the Brunei economy contracted by 4.2 percent year by year, following declines in the previous five quarters, primarily due to lower crude oil, natural gas and LNG production. The report also shared that the growth in the services sector slowed amid the third COVID-19 wave. But, the downstream oil and gas sector recorded strong growth.

 

Effects from that has caused consumer prices in the country to increase. To tackle the pressure of inflation, the government has taken several measures including the regulation of the national currency. The fiscal and trade position, however, improved as a result of the increase in oil and gas prices. As consumers, we can also play a role in being smart users.

 

Despite the challenges posed by COVID-19, the country will continue to develop several economic recovery strategies that will allow the country to return to its former state, including efforts to diversify the economy.

 

Source: Radio Television Brunei

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