This paper uses institutional and elite theories to interpret research interviews concerned
with public sector governance in the Sultanate of Brunei Darussalam over the period 1998–
2005. Despite the suggestion from international agencies(suchas the WTO and the IMF)to
improve governance in the public sector,the recent governance reform in the post-royal
dynastycrisisperiodinBruneiisovertlydisplayedandcovertlyignoredbythemainactors.
The resultsshowthatpublicgovernanceisnotwelldeveloped.Usingeliteandinstitutional
theoriesitisunderstoodthattheroyalfamilyplayedadominantroleinlegitimizingtheir
absolutepower(usingelites)overgovernanceinpublicsectororganizations.