The Brunei Investment Agency (BIA) is a

government-owned corporation A state-owned enterprise (SOE) is a government entity which is established or nationalised by the ''national government'' or ''provincial government'' by an executive order or an act of legislation in order to earn profit for the governmen ...

that reports to the Ministry of Finance of the

Government of Brunei The Government of Brunei Darussalam is the union government created by the constitution of Brunei where by the Sultan of Brunei is both head of state and head of government (Prime Minister of Brunei). Executive power is exercised by the governme ...

. Established in 1983, its offices are located in

Bandar Seri Begawan Bandar Seri Begawan (BSB; Jawi: بندر سري بڬاوان; ) is the capital city of Brunei. It is officially a municipal area () with an area of and an estimated population of 100,700 as of 2007. It is part of Brunei-Muara District, the sm ...

at the Ministry of Finance HQ. Data on the agency's assets are not reported to the public and the

Sultan Sultan (; ar, سلطان ', ) is a position with several historical meanings. Originally, it was an Arabic abstract noun meaning "strength", "authority", "rulership", derived from the verbal noun ', meaning "authority" or "power". Later, it ...

and his assets, to a certain degree, are also incorporated in the agency; however the extent is unknown.

Legal status

Prior to Brunei's independence, the country's investment portfolio was administered by the

British Crown The Crown is the state (polity), state in all its aspects within the jurisprudence of the Commonwealth realms and their subdivisions (such as the Crown Dependencies, British Overseas Territories, overseas territories, Provinces and territorie ...

. The BIA was established under an Act of the Government of Brunei and became functional from 1 July 1983. The objective defined under the Act is to hold and manage the General Reserve Fund of the Government and all its external assets. The agency manages 40% of Brunei's foreign reserves, remainder being managed by eight foreign organizations. The

Sultan of Brunei The sultan of Brunei is the monarchical head of state of Brunei and head of government in his capacity as prime minister of Brunei. Since independence from the British in 1984, only one sultan has reigned, though the royal institution dates bac ...

and Yang de Pertuan have the authority to specify any other issues that need to be addressed by BIA.

Functions

The agency's principal tasks are to control and manage Brunei's general reserve funds and the growth of external holdings. It manages the country's income from oil exports in the form of foreign reserves. Its managing director, Dato Abdul Rahman Karim, is also a Permanent Secretary in the Finance Ministry. BIA mostly functions as the central bank in the country and has a strong financial base with funds generated from the country's gas and oil resources, apart from Worker's Provident Fund and other revenues.

Investments

Some major foreign assets of BIA include the

Dorchester Collection Dorchester Collection is a luxury hotel operator owned by the Brunei Investment Agency (BIA), an arm of the Ministry of Finance of Brunei. Dorchester Collection owns and manages nine luxury five star hotels: The Dorchester (London), The Beverly H ...

, which is a portfolio of luxury hotels established in 1996; a 10% holding in the Paterson Securities of Australia, and Bahagia Investment Corporation (Malaysia), dealing with real estate. BIA's investment portfolio, apart from investments within Brunei, covers diverse investments in bonds, equity, currency, gold and real estate. It has substantial investments in the US. Brunei investors bought

The Dorchester The Dorchester is a five-star luxury hotel on Park Lane and Deanery Street in London, to the east of Hyde Park. It is one of the world's most prestigious and expensive hotels. The Dorchester opened on 18 April 1931, and it still retains its ...

Park Lane Park Lane is a dual carriageway road in the City of Westminster in Central London. It is part of the London Inner Ring Road and runs from Hyde Park Corner in the south to Marble Arch in the north. It separates Hyde Park to the west from May ...

in London in 1985 for US$50 million and in 1996 BIA formed the

, a conglomerate of luxury hotels in UK, United States, France and Italy. BIA also owns

The Beverly Hills Hotel The Beverly Hills Hotel, also called the Beverly Hills Hotel and Bungalows, is located on Sunset Boulevard in Beverly Hills, California. One of the world's best-known hotels, it is closely associated with Hollywood film stars, rock stars, and cel ...

in Los Angeles which was bought for US$185 million in 1987 as well as the Grand Hyatt Singapore Hotel. BIA also has a 10% holding in the Paterson Securities of Australia, and Bahagia Investment Corporation of Malaysia, dealing with real estate. In June 2018 BIA acquired a stake in

Molten Ventures Molten Ventures, formerly Draper Esprit, is a venture capital firm, investing in high growth technology companies with global ambitions, with offices in London, Cambridge and Dublin. It is listed on the London Stock Exchange and is a constituent ...

for £20 million.

References

External links

Official website
{{Brunei government ministries and agencies, state=expanded Banks of Brunei Financial regulatory authorities Government-owned companies of Brunei Investment Agency Bandar Seri Begawan Financial services companies established in 1983 1983 establishments in Brunei Government agencies of Brunei Sovereign wealth funds