Brunei’s twelfth National Development Plan (RKN12) was officially launched on May 21, outlining BND 4 billion to fund 305 projects to strengthen socioeconomic development between 2024 and 2029.
With 10 years left to go until Brunei’s national vision Wawasan 2035, RKN12 sets out six strategic thrusts to guide the country’s development efforts during this critical final stretch.
These thrusts aim to reinforce Brunei’s foundations by improving education and workforce readiness, promoting environmental sustainability, ensuring public well-being, diversifying the economy beyond oil and gas, and enhancing public service delivery.
Together, they serve as a roadmap for aligning national projects and investments with long-term goals for prosperity, resilience, and sustainability.
Let’s break down the RKN, how the twelfth edition connects with its predecessor, and what the latest five-year plan will fund—drawing directly from the official RKN12 report.
What is RKN and how does it fit within the government’s budget?
Brunei’s annual supply bill, often referred to as the national budget, is tabled and passed at the Legislative Council and runs from April to March the following year.
The supply bill covers the budget allocated to each ministry. The RKN is usually included in this bill, but as a distinct item that has been strategically planned for separately and, in its 12 iterations, has spanned a four to five-year timeframe.
While the respective ministries’ budgets cover recurrent spending—routine, operational expenses such as civil service salaries, maintenance, and administrative costs—RKN, whose project owners are still the respective ministries, is more focused on long-term, strategic development.
These include capital-intensive projects such as infrastructure, digital platforms, and other investments intended to build national capacity and drive future socioeconomic growth.
What is the continuity between RKN11 and RKN12?
RKN11 allocated BND 3.5 billion for the period of 2018–2023, covering 221 projects. As of March last year, BND 1.9 billion or 55% of this had been spent.
RKN12’s BND 4 billion allocation includes BND 1.7 billion for 153 carried-over projects from RKN11 and BND 2.3 billion for 152 new projects.
The transport and communications sector recorded the highest expenditure under RKN11, reaching BND 873.4 million. This was largely driven by the Sultan Haji Omar ‘Ali Saifuddien (SHOAS) Bridge, which accounted for BND 777 million and was formally transferred under RKN funding in the 2017–2018 financial year.
In total, 54 projects were completed under RKN11. Another 72 are still being implemented, including the UNISSA’s new campus, and the second phases of the HB National Stadium and the Lugu National Housing. A further 95 projects remain in various stages of planning, design, or tender.
Learning from RKN11, the RKN12 report calls for better project selection with long-term impact, stronger coordination between ministries, and timely updates based on national priorities. Ministries are also advised to spend carefully and avoid unnecessary costs.
What will RKN12 fund?
The RKN12 report frames the 305 projects under six strategic thrusts, each of which outlines existing infrastructure and programme support, national needs, and the expected impact of the RKN12 developments.
While the budget allocation per thrust is not disclosed, the number and types of projects provide insight into national priorities.
Thrust 1: Improving quality education through strengthening infrastructure accessibility and a systematic education system
This thrust covers 31 construction projects for school facilities and buildings. These include the development of a Science College in Kuala Belait, the rebuilding of Sultan Hassan Bangar Secondary School in Temburong, and upgrades across primary, secondary, and tertiary institutions nationwide.
Additionally, seven projects focus on digital education systems, including network infrastructure, data management and enterprise resource planning.
These initiatives aim to support rising student enrolment seen between 2020 and 2023—an increase of 2.4% in higher education and 0.6% in technical and vocational education and training (TVET), totaling 5,621 and 12,366 students, respectively.
Thrust 2: Generating a workforce aligned with industry needs
This thrust focuses on training and upskilling Bruneians to meet evolving labour market needs. Although unemployment dropped from 7.6% in 2020 to 5.1% in 2023, 47.8% of the unemployed hold only secondary-level education.
To address this, the Manpower Planning Office (MPO) was established in 2019 to oversee national workforce planning and development. It is supported by the Manpower Industry Steering Committee, which monitors supply and demand across five key sectors: energy, construction, logistics, hospitality and tourism, and ICT.
Initiatives under this thrust include JobCentre Brunei for job matching, the Ministry of Education’s STEAM programme under the STEP Centre to build science and technology capacity, MOE’s TVET Transformation Plan, and PSC recruitment system for civil service roles.
RKN12 supports physical upgrades to training institutions, including IBTE’s School of Hospitality and Tourism and the School of Aviation’s aircraft maintenance training centre.
Local participation in the private sector has improved, with the number of local workers rising from 72,000 in 2018 to 86,000 in 2023.
Thrust 3: Contributing towards sustainable environment in addressing climate change
Brunei has made progress in reducing greenhouse gas (GHG) emissions, achieving a 15% reduction and staying on track to meet its nationally determined contribution of a 20% reduction by 2035 under the Paris Agreement, with a long-term goal of net-zero emissions by 2050.
To support these goals, RKN12 includes 11 projects aimed at strengthening environmental protection and reducing industrial emissions.
These initiatives cover reforestation and forest management, with efforts such as sustainable forest certification, forest plantation development, and silvicultural enrichment planting to increase timber stock and carbon capture.
Programmes also include wildlife protection and upgrading of forest recreation areas like Pulau Selirong to support both conservation and eco-tourism.
Complementing these efforts are the National Adaptation Plan for Climate Change and solar photovoltaic system installations at government facilities.
Green building practices are also being advanced, with a total of BND 50 million allocated to support environmentally responsible construction.
Thrust 4: Strengthening national security and sustainable welfare of the people
With the widest scope among the six thrusts, the fourth thrust covers public infrastructure that supports citizen welfare—healthcare, housing, utilities, transport, as well as national security—with a total of 154 projects.
In healthcare, six projects are listed, including the construction of a new emergency services building and the upgrading of Suri Seri Begawan Hospital in Kuala Belait, along with new health centres in Mengkubau and BSB.
Additional developments include a National Screening Centre, a National Blood Centre, and a new 500-bed block at RIPAS Hospital to expand specialist care. A new National Reference Laboratory Complex is also planned to support food industry analytics and reduce overseas testing dependence.
Housing development is another priority, with 10 projects focused on new phases and upgrades in national housing areas such as Lugu, Tanah Jambu, Rimba, Salambigar and Lumut. Kampong Ayer is also undergoing redevelopment to preserve its cultural and residential significance.
Water infrastructure upgrades span 18 projects, ranging from treatment plant upgrades to pipeline replacements across districts. Drainage and sewerage systems are being improved through 22 projects, while 14 road and bridge projects aim to improve connectivity and safety.
The electricity network accounts for 34 projects under the Department of Electrical Services, including reinforcement of the 11kV and 66kV systems and upgrades to substations and street lighting.
Religious infrastructure is supported through 12 new mosque construction projects across both urban and rural areas.
Four leisure and recreation projects will upgrade national sports facilities, including the second phase of the HB National Stadium and the rehabilitation of the national swimming pool, tennis courts, and lawn bowl centres.
For strengthening national security, 26 projects under the Ministry of Defence, Royal Brunei Police Force, and other security and enforcement-related agencies. These range from air defence capability upgrades and military infrastructure to police quarters, marine jetties, and prison improvements.
In addition, survey and research-based projects are being undertaken to improve masterplans for coastal protection, flood mitigation, seismic safety, and sanitation planning. These preparatory studies underpin long-term planning across infrastructure and environmental management.
Thrust 5: Increasing the contribution of the non-oil and gas sector to the economy
Brunei’s non-oil and gas sector—particularly driven by downstream industries—has seen significant expansion over the past five years, resulting in a series of macroeconomic milestones. GDP grew by 4.2% in 2024, the highest in 25 years, with the non-oil and gas sector now accounting for 56.6% of GDP.
Non-oil and gas exports have surged from just 3% in 2017 to 61% in 2023, largely due to output from the refinery and petrochemical plant operated by Hengyi Industries on Pulau Muara Besar and Brunei Fertilizer Industries’ ammonia and urea plant at SPARK.
Despite this growth, government revenue remains reliant on oil and gas, which still accounts for over 75% of national income. A combination of declining oil prices and reduced production underscores the urgency of accelerating economic diversification.
To drive this shift, Brunei’s Economic Blueprint has prioritised five sectors: downstream oil and gas, food, tourism, ICT, and services. From 2015 to 2023, these sectors recorded an average annual growth of 6.3%, with the downstream sector being the primary driver with 38.7% growth.
Foreign direct investment (FDI) is recognised as a key enabler—not only for injecting capital and creating jobs but also for strengthening local industry ecosystems by integrating value chains and expanding opportunities for MSMEs.
RKN12 supports this transition through a range of industrial and sector-specific development projects.
Key initiatives include electrical and external infrastructure for industrial sites across the country, further development of Pulau Muara Besar, and utilities expansion such as the raw water pipeline from Badas to SPARK.
Agriculture initiatives include new irrigation schemes and production enhancement programmes for rice, livestock, and vegetables. Aquaculture sites are being developed with supporting infrastructure and productivity programmes. Forestry projects will support ornamental plant cultivation and include a new forestry inspection and control station.
Tourism projects include the rehabilitation of the Brunei Museum, expansion of the Royal Regalia building, and public infrastructure upgrades at tourist sites. A Cultural and Creative Industries Hub and a Community Library are also planned.
RKN12 also funds research and planning for macroeconomic cluster development, socioeconomic studies, and innovation, including technology research and grant programmes like CREATES.
Thrust 6: Strengthening government’s management for an efficient and conducive governance
The final thrust aims to improve public service delivery and streamline government processes to better support business and citizen engagement—aiming for efficient, transparent, and responsive governance.
A major priority under this thrust is accelerating the digitalisation of government systems—both for internal administration and for services accessed by the public.
Existing platforms include the Sistem Kebajikan Negara (SKN), which supports national welfare distribution; the One Common Billing System under the Ministry of Finance and Economy (MoFE), which centralises bill payments across agencies; and the Brunei Darussalam National Single Window (BDNSW), which facilitates trade transactions and customs clearance.
Under RKN12, 29 digital system projects are being implemented across several ministries.
These include the development of public transportation and land transport information systems under the Ministry of Transport and Infocommunications (MTIC); an online housing application platform under the Ministry of Development (MoD); and a new national registration system under the Ministry of Home Affairs (MoHA).
MoFE will also roll out an integrated government human resource management platform, while other ministries will digitise licensing processes, financial operations, and internal workflows.
To support better policy planning, eight projects have been designated for land use surveys and masterplans under MOD. These include the development of a national land use masterplan, land availability assessments, and detailed district-level plans for all four districts, covering the period from 2026 to 2045.
Upgrading and construction of government facilities are also being prioritised, with 14 projects listed under this thrust.
A key priority is accelerating the digitalisation of government systems, both for internal use and public services.
Existing platforms include the Sistem Kebajikan Negara (SKN), which supports national welfare distribution; the One Common Billing System under MoFE, which centralises bill payments; and the Brunei Darussalam National Single Window (BDNSW) for trade and customs clearance.
Under RKN12, 29 digital system projects are being rolled out across several ministries. These include new public transport and land transport systems under MTIC; an online housing application platform under MoD; and a national registration system under MoHA. MoFE will implement a government human resource management platform, while other ministries focus on digitising licensing, finance, and internal workflows.
Eight projects support land use planning under MoD. These include a national land use masterplan, land availability assessments, and district-level development plans from 2026 to 2045.
There are also 14 projects for the upgrading and construction of government facilities. These include immigration post upgrades, a new Ministry of Foreign Affairs headquarters, and refurbishment of Brunei’s overseas missions and residences in the UK, Singapore, Thailand, the US, Belgium, and China, as well as new offices in Germany and Saudi Arabia.
