Brunei Darussalam’s Gross Domestic Product (GDP) in Q1 2026 recorded a modest expansion, with growth primarily driven by the Oil and Gas Sector due to higher output across crude oil, natural gas, and LNG. Meanwhile, the Non-Oil and Gas Sector contracted, largely due to declines in the Finance, Business Services, and Construction subsectors. At the same time, inflation showed a continued decline in non-food prices despite a rise in food prices due to weather-related supply disruptions and higher input costs. In addition, FDI flows shifted to a net outflow and FDI stock contracted, primarily driven by loan repayments made to parent and sister companies. Despite this, total trade and trade balance expanded compared to Q1 2025, driven by increases in both exports and imports due to rising global market prices. In terms of fiscal balance, the country’s position remained in an expanded deficit, mainly due to a sharp drop in public revenue that surpassed the fall in government spending.