Brunei to focus on potential growth and industries to promote FDIs

Rachel Thien and Leo Kasim
BANDAR SERI BEGAWAN

THE new Foreign Direct Investment (FDI) and Downstream Industry Committee can take advantage of regional trade agreements to export Brunei-made products and attract more investors, said chairman of the Brunei Darussalam International Chambers of Commerce and Industry.

Shazali Sulaiman said Brunei can promote the manufacturing and export of halal foodstuffs, pharmaceutical and beauty products.

“These can be exported outside Brunei to take advantage of the ASEAN Economic Community 2015, Trans-Pacific Partnership and other regional free trade agreements,” he told The Brunei Times.

The chairman was reacting to His Majesty Sultan Haji Hassanal Bolkiah Mu’izzaddin Waddaulah, The Sultan and Yang Di-Pertuan of Brunei Darussalam’s announcement on the establishment of the committee in his New Year’s Eve titah.

Shazali said the establishment of the committee will allow Brunei to focus on the areas of potential growth and industries that can promote FDIs.

He went on to say that the Bio-Innovation Corridor can be further developed to attract FDIs, which will help expand the industry base and create employment for locals. The Bio-Innovation Corridor, according to its website, was established to promote the development of food and bio-industries and establish an internationally renowned halal-themed industry park as part of Brunei’s economic diversification strategies.

Speaking on the new Small and Medium Enterprise (SME) Centre that was also announced by the Sultan, Shazali said it will play a critical role in nurturing entrepreneurs provided that collaboration is in place between the public and private sectors.

“There must be regular dialogues and discussions held with the private sector so that the centre can cater to the needs of SMEs, which is why a formal public-private partnership must be seen to be in place,” he said.

He said the private sector can play a key role by providing input on practical problems, challenges and issues.

“Policy decisions will be based on practical factors from the ground and this is where associations such as the Chambers of Commerce can play an important part in,” he said, adding that such work will only help in achieving strategies and objectives set out in the Vision 2035.

Meanwhile, Legislative Council (LegCo) member Yang Berhormat Pehin Kapitan Lela Diraja Dato Paduka Goh King Chin said His Majesty’s titah was a “wake-up call” for the country to take SMEs and FDIs seriously.

He said the One Village, One Product OVOP initiatives play an important role in SME growth, and that the new SME Centre should consider their needs.

However, he questioned the success of the implementation of OVOP in villages and they need help to thrive.

“Some of the things I think must be looked into is that some of the residents in OVOP are selling their products on a small-scale level at their houses or a rented venue. Some are also facing difficulties in getting financing from the banks,” he said.

The LegCo member, who is also a prominent businessman, said while the quality of OVOP products is good, their packaging is poor in general.

He added some of the residents are also unsure of how to export their products, and this is where they need help.

To attract more FDIs into Brunei, he said guidelines on investing need to be made clear and transparent to all foreign investors, including areas such as land leasing to start a business here.

YB Pehin Dato Goh also called for the expediting of approval processes for FDIs.

LegCo representative of Belait district Zone 1 YB Hj Mohd Shafiee Ahmad said he fully supports His Majesty’s titah on the formation of the SME centre.

“We do not know who will be running it, but His Majesty said he would like to see ministries working together. We hope this centre will be able to produce marketable SMEs,” he said.

YB Hj Mohd Shafiee said those who are involved in the OVOP are important, and need support from the government and other sectors of society. “Most of the OVOP do not have enough funding, and many have problems in marketing their products,” he said.

He called on the public and pri-vate sectors to help promote the OVOP initiatives until they are successful.

“I personally hope the SME centre will be able to help the OVOP, and if it is possible, for all OVOP from the four districts to be managed there so they can be marketed locally and for export,” he said.

Speaking on FDI, YB Hj Mohd Shafiee too said the process of approving investors to operate here must be expedited. “If the process takes too long, investors will not be willing to invest,” he said.

He said guidelines on investing in Brunei must be made transparent and clear, so investors can adjust and plan their business.

“The private sector plays an important role in developing any country. So FDIs and the private sector must be given more consideration and not make it difficult for them to carry out businesses,” he said.

Dato Paduka Hj Idris Hj Abas, chief executive and principal architect of Arkitek Idris also welcomed the setting up of SME centre as almost 99 per cent of businesses in Brunei are SMEs.

“(This) centre should exist to support and give guidance to the development of SMEs, especially on the financial scheme assistance.”


Sumber - The Brunei Times