Economics & Finance / Macroeconomics / Economic Development & Transition

How Brunei Built a Utopia with Oil, But Can It Survive Without It?

Brunei is a paradox. For decades, its economy has been a volatile rollercoaster, soaring and crashing with the price of oil. Yet, its citizens enjoy some of the highest standards of education and healthcare in the world. How is this possible? This deep dive into 63 years of World Bank data reveals the incredible story of a nation that used fossil fuel wealth to build a near-perfect social safety net, achieving 100% youth literacy and drastically reducing child mortality. But now, the clock is ticking. As oil revenues decline and the population ages, Brunei faces its ultimate test: can its highly educated population become the 'new oil' and power a diversified knowledge economy, or will the very comfort it built become its anchor? We unpack the economic trap of 'Dutch Disease,' the looming 'silver tsunami,' and the ambitious Vision 2035 plan that aims to secure Brunei's future. This is a crucial case study for any economy navigating the global energy transition.