State Government values role of MCCI

17 April 2025

KOTA KINABALU: The State Government values the role of the Malaysian International Chamber of Commerce and Industry (MICCI) in the process of policy framing and decision-making, said Chief Minister Datuk Seri Panglima Haji Hajiji Haji Noor.

More importantly, he stated that MICCI has played a vital role as a partner in progress to both the federal and state governments in promoting a favourable business environment by developing and implementing a robust regulatory framework conducive to healthy business practices.

Hajiji highlighted that MICCI has also taken the lead in the biennial Sabah International Expo, which has become an essential platform for promoting commerce, trade, and investment for over two decades.

“With its formidable corporate membership across various business sectors from numerous countries and investments worth billions, the MICCI is a force to be reckoned with. Its resilience and history of support to members in developing their businesses in the country is commendable,” he remarked at the MICCI Sabah Branch annual luncheon 2025, held at the Sabah International Convention Centre (SICC) today.

The Chief Minister’s speech was delivered by his Senior Private Secretary, Datuk Ceaser Mandela Malakun.

Hajiji further emphasised the State Government’s commitment to addressing various challenges, including infrastructure and basic amenities, to spur economic growth.

This commitment is evidenced by the highest-ever budget of RM6.42 billion for this year. Under this budget, he noted that RM2.6 billion has been allocated to upgrade various infrastructure and utilities, particularly those related to water, electricity, and roads.

“We have put in place concerted action plans. Among these are steps to help transition the state’s dependence on non-renewable energy sources to renewable energy, where we have launched the Sabah Energy Roadmap and Master Plan 2040."

"To improve hydro capacity, we have initiated the Ulu Padas hydroelectric project, which can contribute approximately 187.5MW and also has the potential to supply around 6,000 million litres daily (MLD) of water. Additionally, the capacity of existing water treatment plants has also been increased,” he explained.

Hajiji also mentioned that the State Government had established the Sabah Energy Commission (ECoS) as the regulatory authority for gas supply and energy to address energy challenges.

He noted that Sabah Ports Sdn Bhd had signed an agreement to jointly manage the Sapangar Bay Container Port, along with investments in logistics and supply chain infrastructure in Sabah.

On the investment front, he reported positive momentum, stating that Sabah’s overall approved foreign and domestic investments in the manufacturing sector since September 2020 are estimated at RM17.41 billion from 73 companies.

“Of these 73 companies, 52 have already established businesses in the state with a total investment of RM7.8 billion, creating 3,636 jobs. From 2022 to 2024, Sabah also received new investment proposals worth an additional RM42.3 billion, offering 32,996 jobs,” he added.

Hajiji listed notable investors, including SK Nexilis and the Kibing Group, as well as Esteel Enterprise Sabah Sdn Bhd with its RM19.6 billion investment, Curix Sdn Bhd (KKIP), Kibing Group’s third production line (KKIP), Tex Evolusi Waste Management Sdn Bhd (SOGIP), and E Concern (Borneo).

He noted that the Ministry of Industrial Development and Entrepreneurship (MIDE) is currently coordinating the latest investment proposals from the Kibing Group at Kimanis, TS Asia Green Infrastructure Sdn Bhd at POIC Lahad Datu, and PMB Technology/Press Metal in Sipitang.

“Overall, I am pleased to say that with all these investments in place, Sabah stands to gain RM58.319 billion worth of investments. Hence, the State Government will continue to build on this momentum to ensure that the state remains conducive for investors,” he stated.

Hajiji concluded by discussing the Blue Economy, which was launched last year and is expected to be a game changer in the state’s economic diversification.

“The Blue Economy is more than just deep-sea fishing. In fact, there are 14 components of the Blue Economy that can be explored. Among them are renewable ocean energy, blue carbon, tourism, maritime transport, and marine biotechnology, among others. I look forward to seeing investments in this sector moving forward,” he said.