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Insufficient infrastructure, lack of promotion holding back tourism, says economist

Brunei Darussalam is facing a host of challenges to its tourism industry, including insufficient infrastructure and lack of promotion, said an economist from the ASEAN+3 Macroeconomic Research Office (AMRO).

Country economist for Brunei Darussalam at AMRO Vanne Khut noted hard infrastructure such as airport connectivity, ground and tourist service infrastructure such as accommodation and car rentals appear to be insufficient.

There is also limited ‘soft infrastructure’ such as skilled workers and the labour market conditions which trail behind regional peers, reflecting some challenges when attracting and retaining skilled talent in the sector.

“Over the years, there has been also a lack of marketing and promotional campaigns to help drive the tourism sector’s growth. Furthermore, the strength of the local currency vis-a-vis regional peers’ can make Brunei look more expensive to foreign tourists and influence their decision to visit,” he said.

Khut said investing in both hard and soft infrastructure is thus necessary to foster growth in the tourism sector. “The planned establishment of a new Brunei-based airline, which is expected to enhance Brunei’s connectivity with several Chinese cities, bodes well for tourism. Enhancement of infrastructures, such as equipping hotels with better facilities and Internet connection, should also be a priority,” he added.

“Given the competitive tourism landscape in the region, Brunei should also focus on establishing niche markets for its tourism sector by leveraging its rich culture and biodiversity. The establishment of ecotourism resorts in Temburong District is a step in the right direction,” he said.

Khut said another viable option to spur growth of the tourism industry is to promote the country as a premier destination for Islamic tourism. “Brunei has the potential to further develop this niche market, given the extensive availability of prayer facilities, halal dining and Muslim-friendly hotels and resorts in the country,” he said.

“With clear directions in place, Brunei has a good opportunity to eventually become a top niche tourism destination in the region.”

Women take selfies after disembarking from a boat in Bandar Seri Begawan. PHOTO: AFP
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