KOTA KINABALU: Datuk Nizam Abu Bakar Titingan has stated that Sabah’s economy is progressing according to its planned direction. The information chief of Parti Gagasan Rakyat dismissed Parti Warisan’s claims that the current Gabungan Rakyat Sabah (GRS)-led state government was not focusing on the right economic industries for Sabah. Nizam emphasized that each state has its own economic strengths to capitalize on.
Warisan leaders had disputed Sabah’s export value for 2022, pointing out that 73.4% of it came from crude oil, palm oil, and liquefied natural gas (LNG). Nizam argued that this export value differed from Sarawak, where manufacturing trade accounted for over half of the value. Warisan had suggested that Sabah should have prioritized the development of local manufacturing and downstream industries.
Nizam contended that Sabah’s manufacturing industry revenues are primarily derived from long-established manufacturing factories, whereas Sarawak has older manufacturing facilities that contribute to its higher manufacturing trade value. He highlighted the economic returns, activities, and investments that the GRS government has attracted since taking office.
Nizam mentioned the arrival of a copper foil manufacturing factory by a South Korean-based investor and a silica processing factory, among other initiatives aimed at boosting the economy. He believed that these industries would create job opportunities, promote business growth, and generate more revenue for the state’s development and its people.
While acknowledging that crude oil, palm oil, and LNG accounted for the majority of Sabah’s export value in 2022, Nizam asserted that the ratio would change as the manufacturing industry reaches its full potential. He explained that Sabah’s focus on manufacturing is driven by its comparative advantages, allowing the state to adopt cost-effective practices without directly competing with the same manufacturers.
Nizam stressed that all states have their own economic strategies and focuses. Sabah’s sunrise industries include tourism, agriculture, and plantations, which may not contribute directly to export value but still provide revenue and benefit the state. He expressed confidence in Sabah’s clear vision and its ability to achieve greater economic heights.
Recently, Sri Tanjong assemblyman Justin Wong and Warisan deputy president Datuk Darell Leiking expressed concerns about Sabah’s dependence on raw commodities as the main exports. They argued that these industries do not create enough jobs or contribute to socioeconomic development. Wong cited figures from the Department of Statistic Malaysia (DOSM), showing that crude petroleum, crude palm oil, and natural gas accounted for a significant portion of the state’s export revenue in 2022.
In response, Nizam stated that Sabah’s economy is on the right track and emphasized the state’s future economic growth. He rejected the notion that Sabah lacks a specific policy or framework to improve its economy, reaffirming the government’s commitment to developing the manufacturing sector and other industries for the benefit of Sabahans.
Credit: The Star : News Feed
