If you want me to choose between Brunei and Labuan, Malaysia, I’d say that I prefer Brunei. I really had some good time in Brunei for the past few days. Labuan, in general, is a relatively expensive place. I spent RM 75 for a single room during my first night, which created a new record in my travel history, the most expensive room I had ever stayed before. I’m staying at a RM 50 room, which is also considered expensive for me.
Labuan, in spite of its high cost, is the heaven for alcohol lovers. You can found really cheap, and a great variety of alcohol here, though prices may varied depend on places.
For most travelers, Labuan might be just a transit point on their way to Kota Kinabalu, Malaysia or Brunei, but it does have some places worth to visit, especially for those who love WW2 history, and of course, wreck dive lovers.
Anyway, I don’t recommend people to spend many days here because of its high cost. For normal travelers, two days should be enough.
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