THE Department of Economic Planning and Development (JPKE) under the Prime Minister’s Office has completed the revision and rebasing of the national accounts statistics for Brunei Darussalam.
The new series of national accounts with base year 2010 will now replace the existing series with base year 2000. The compilation of the 2010-based national accounts statistics for Brunei Darussalam is based on the latest international guidelines as outlined in the System of National Accounts 2008 of the United Nations.
One of the most important aggregates derived from the national accounts is the Gross Domestic Product (GDP), which is used to measure the economic performance of a country in terms of the production of goods and services for a specific time period.
This new national accounts series has been compiled using results from the Supply and Use Tables (SUT) for the benchmark year 2010, which produced consistent GDP estimates by using three approaches, namely the production approach, expenditure approach and income approach.
GDP by income approach and other macro-economic aggregates of Gross National Income (GNI) and Gross National Saving (GNS) are compiled for the first time in the new series.
The revised GDP series also incorporated the latest data from the Household Expenditure Survey 2010/11, the Economic Census 2011 and the Population and Housing Census 2011 and hence shows a more accurate picture of the current economic developments in the country.
Based on the 2010-based series, GDP at current prices for the year 2013 was estimated at BND22.6 billion compared to BND20.2 billion based on the 2000-based series. The difference is due to the improvement made in the new GDP series as follows:
a) Comprehensive data coverage, especially for the private sector;
b) The adoption of new data sources;
c) Improved estimation methodology; and
d) The use of three different approaches to the compilation of GDP.
The major findings from the new GDP series for 2010 – 2013 are as follows:
– GDP for Brunei Darussalam in 2010 was estimated at BND18.7 billion and increased to BND22.6 billion in 2013.
– By the production approach, the industry sector contributed more than 70 per cent to the GDP, followed by the services sector at about 30 per cent and less than 1 per cent contributed by the agriculture, fishery and forestry sector.
– By the expenditure approach, exports of goods and services recorded the highest share at 67.4 per cent, followed by imports of goods and services 28 per cent, gross fixed capital formation 23.7 per cent, Government final consumption expenditure 22.2 per cent and household fixed consumption expenditure 14.7 per cent.
– By the income approach, net operating surplus/mixed income had a share of 72.7 per cent, followed by compensation of employees 24.8 per cent and consumption of fixed capital about 4 per cent. However, taxes less subsidies on products had a negative share of about 2 per cent.
In 2010, the Gross National Income (GNI) for Brunei Darussalam was estimated at BND18.6 billion and increased to BND22.4 billion in 2013. Meanwhile, the Gross National Saving (GNS) was estimated at BND11.2 billion in 2010 and increased to BND13.6 billion in 2013. GNI provides estimates of gross national income after taking into account income from abroad, while GNS is the surplus income after deducting final consumption expenditure for goods and services.
The revised GDP data showed that the economy grew by 3.7 per cent in 2011, followed by 0.9 per cent in 2012, however, decreased by 2.1 per cent in 2013. On average, the economy grew in real terms by 0.8 per cent per year from 2010 to 2013. The Oil & Gas sector decreased by 2.1 per cent per year, while the non-oil & gas sector rose by 5.7 per cent per annum.
The publications on the ‘Annual National Accounts (New Base Year 2010), 2010-2013’ and the ‘Supply and Use Tables and Input-Output Table for Brunei Darussalam 2010’ are available for sale at JPKE.