A Memorandum of Understanding (MOU) was signed on Tuesday between the Brunei government and the Export-Import Bank (EXIM) of the United States with regard to trade and business opportunities in energy projects in the country and the Asia-Pacific region.

Dato Haji Jamain, Permanent Secretary at the Prime Minister's Office signed the agreement with Patricia Loui, member of EXIM Board of Directors.

Dato Haji Jamain stated that Brunei looks forward to the next step after the signing that is to start work and cooperate with the EXIM Bank to fulfill the objectives of the United StatesAsia Pacific Comprehensive Energy Partnership (USACEP) for the betterment of the Asia-Pacific region.

As recalled by Dato Haji Jamain, the formation of USACEP was made in 2012 during the 7th East Asia Summit meeting in Phnom Penh, Cambodia, where President Barack Obama of the United States, Brunei's Sultan Haji Hassanal Bolkiah, Indonesian President Susilo Bambang Yudhoyono announced the formation of USACEP, a platform where existing energy initiatives in APEC and ASEAN could be further leveraged and enhanced specifically on the key priority areas of power markets and interconnectivity, emerging role of natural gas, renewable and sustainable energy and rural electrification.

The ultimate aim is to advance and ensure affordable, secure and cleaner energy supplies for the Asia-Pacifc region. Upon the announcement of the USACEP, the United States also announced that a total of 6 billion U.S. dollars would be made available in the form of export credit financing for the implementation of eligible projects under the USACEP whereby 5 billion U.S. dollars of that commitment would come from the EXIM Bank.

"This MOU that will be signed today will serve as a key to unlock at least 1 billion U.S. dollars of this commitment from the EXIM Bank. As such, the MOU is a key component of the USACEP and Brunei Darussalam is proud to play a key role in furthering its objectives," said Dato Haji Jamain, adding that Brunei's government and the EXIM Bank will work hand-in-hand to identify the right energy projects that not only benefit the region as a whole, but also ensure that there will be positive effects for Brunei.

Meanwhile, Patricia Loui praised the effort made by Brunei as the front runner of the partnership. "Over the last few years, Brunei has undertaken a key leadership role in the ASEAN region. Brunei joined TPP and has been an important voice, resolving issues in a timely manner and focusing on the end-goal: the strong positive economic benefits the agreement will bring to the Brunei economy and its people. Last year it hosted the ASEAN East Asia Summit," Loui mentioned.

"This MOU is win-win. Because EXIM can finance up to 30 percent in local costs, this collaboration can foster more jobs on both sides of the Pacific- for both U.S. exporters and for Brunei buyers. Further, World Bank statistics indicate that U.S. investment in infrastructure can increase the annual GDP growth rate in ASEAN nations by as much as three percentage points," Loui added. Endi

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