The tiny nation of Brunei introduced severe penalties for gay sex and adultery — stoning to death and whipping — despite global condemnation.

Key points: Same-sex relations, adultery and rape can be punished by stoning or whipping in Brunei

Same-sex relations, adultery and rape can be punished by stoning or whipping in Brunei The wealthy Sultan of Brunei is introducing the laws after more than 50 years in power

The wealthy Sultan of Brunei is introducing the laws after more than 50 years in power Observers believe the Government wants to keep citizens in line as the economy falters

Made up of two small slivers of land on the island of Borneo, the oil-rich country of about 400,000 people is ruled by the extravagantly wealthy Sultan Hassanal Bolkiah, who also acts as Prime Minister.

The Muslim-majority nation became the first East Asian country to adopt strict Sharia law in 2014, but in the face of widespread outrage backed down on the implementation of the most severe punishments.

But the former British protectorate has been rolling out the new penal code in stages since then — taking campaigners by surprise with the quiet introduction of the final phase that will make Brunei's the harshest Sharia law in the region.

Sharia courts in the Indonesian state of Aceh, as well as Terengganu in Malaysia, have imposed caning as a punishment in the past. ( Supplied )

What does the legislation say?

Under Brunei's laws, sodomy — whether between two men or an unmarried heterosexual couple — can be punished by being stoned to death or whipped with 100 strokes.

Adultery attracts the same forms of punishment, but as with sodomy it applies only if the accused admits their involvement or at least four eyewitnesses testify.

If a person is convicted by other evidence, they still face being flogged up to 30 times and imprisoned for up to seven years.

Penalties for women who have sex with other women are less severe, but they can still be whipped up to 40 times and jailed for 10 years.

Non-Muslims are not exempt — they face exactly the same punishments for adultery or sodomy if their partner is Muslim. It is not clear if two non-Muslims would be punished.

Also in Brunei's Sharia penal code is the punishment of armed robbery with the amputation of the offender's right hand or left foot, and the whipping of Muslims caught drinking alcohol.

Women also face jail terms for giving birth outside of wedlock or having an abortion.

Who's the rich royal behind it?

The 72-year-old Sultan of Brunei is thought to be one of the richest people on earth, with billions of dollars to his name thanks to Brunei's abundant oil riches.

He lives in a lavish 1,788-room palace and reportedly owns an estimated 150 homes, 7,000 cars, and several aircraft.

The royal family has been criticised by activists such as The Brunei Project's Matthew Woolfe for their "hypocrisy" in living a decadent lifestyle while expecting Islamic piety from their Bruneian citizens.

The Nurul Iman Palace is the largest royal residence in the world. ( Reuters: Ahim Rani )

Prince Jefri Bolkiah, the Sultan's younger brother, has the most notorious reputation in the House of Bolkiah.

According to a Vanity Fair profile, the playboy prince once owned a yacht he called Tits, dubbing its tenders Nipple 1 and Nipple 2.

The magazine also claimed that when the brothers partied together in the 1980s and 1990s, they allegedly indulged in some of the very practices that will now be outlawed in Brunei.

"Afforded four wives by Islamic law, they left their multiple spouses and scores of children in their palaces while they allegedly sent emissaries to comb the globe for the sexiest women they could find in order to create a harem the likes of which the world had never known," Vanity Fair reported.

The two brothers later had a falling out over Prince Jefri's alleged mismanagement of vast sums of Brunei's wealth.

Ten countries have introduced the death penalty for being LGBT, but only some carry out the punishment in practice. ( ABC News: Jarrod Fankhauser )

Why is this happening now?

Mr Woolfe, an Australia-based campaigner who said he was banned from entering Brunei in 2016, said there are a number of theories circulating among observers.

One is that the ageing Sultan is now looking to secure his legacy after more than 50 years on the throne — and perhaps paper over some of his family's indiscretions in the process.

Another widely discussed possibility is that as Brunei's oil reserves begin to decline and the once-buoyant economy softens, there are concerns that discontent could start to simmer in a nation that has never held elections.

Generous government subsidies and zero income tax have long kept the populace compliant, but with unemployment growing and an uncertain post-oil future, the speculation is that Sharia law could be a new way to keep people in line.

Finally, Mr Woolfe said, the Government could also be striving to become more appealing to strict Islamic countries by mirroring their Sharia laws, in order to attract investment and Muslims tourists.

What has been the reaction in Australia and beyond?

George Clooney has been joined by several celebrities, including Elton John, in his boycott of Brunei-owned hotels. ( Reuters: Lucy Nicholson )

The Australian Government has condemned the laws described by the United Nations as "cruel and inhuman", with Foreign Minister Marise Payne saying that she had raised concerns directly with her counterpart in Brunei.

"We absolutely oppose the death penalty and are committed to the rights of LGBTI people. We will continue to advocate for human rights in the region & beyond," she wrote in a Tweet.

Celebrities George Clooney and Elton John are leading a boycott of a luxury international hotel chain owned by the Sultan, and a petition has been set up calling on the Government to ban Royal Brunei Airlines from flying to Australia.

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So what does Brunei say about it?

Brunei's Government, for its part, has defended the legislation, saying in a statement that the Sharia penal code "aims to educate, respect and protect the legitimate rights of all individuals, society or nationality of any faiths and race."

Mr Woolfe said it was difficult to gauge the reaction among people in Brunei as people tend to be guarded about expressing themselves openly, but that there was a mix of supporters and opposition to the legislation.

"Certainly you do see a lot of the supporters are happy to come out and say they support the laws because there's no risk to them by saying those things," he said.

"[But] the people I have close contact with inside the country are very, very concerned about these laws and what the future may hold for them and for the country."