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RM240m ‘Sabah New Deal’
Published on: Friday, June 19, 2020
Published on: Fri, Jun 19, 2020
By: Larry Ralon
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RM240m ‘Sabah New Deal’
Shafie
Kota Kinabalu: The State Govenrment on Thursday unveiled the Sabah Covid-19 Stimulus Package Phase 2, involving RM240 million with primary objective of speeding up the state’s digital economic transformation as well as boost the agro-food sector and human capital re-development. Chief Minister Datuk Seri Mohd Shafie Apdal said apart from boosting the state’s economic recovery, the second package themed “Sabah New Deal” is also meant to enable Sabah moves into the “new normal”.
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He said the Covid-19 pandemic has resulted in the need to do many things via online through the use of digital technology, application and tools.
“Suddenly the people are forced to work, learn, doing business and communication from home in the effort to prevent the spread of the pandemic,” he said.
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He said because of this, there is need to widen, strengthen and upgrade the digital infrastructure throughout Sabah, particularly in rural areas where folks also need to be connected digitally to up their living condition. Among the initiatives is to continue facilitating and urging the Federal Government to speed up the implementation of the National Fibresation Plan which is very much needed in Sabah.
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“I urge the Federal Communication and Multimedia Ministry as well as telecommunication companies to widen the network coverage reach and internet speed in Sabah. This initiative will speed up the shift into digital economy. The transformation is not only meant for the public but also the private sector. It will also help reduce the digital divide between the urban and rural areas of Sabah. “The new norms demanded that the services, businesses and communication to use digital platforms and applications,” he said, adding the State Government would allocate RM35 million for speeding up the State Public Services’ digital service delivery system.
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This would be initiated with the implementation of State Government Digitalisation Programme meant to up the quality, capacity and efficiency of the public service delivery system in Sabah. 

“The State Government will allocate RM35 million this year for upgrading all government computer servers and providing the needed latest digital equipment and applications. These include provision of high-speed broadand internet at State Government office buildings. “Civil service staff will also be given training to enable them to move to working digitally during this digital era. This is expected to increase significantly the quality and capacity of the State Civil Service, including the local authorities,” he said.

Mohd Shafie said during the tabling of the 2020 State Budget, the State Government announced an innovative new approach to speed up the approval for development plans by the Central Board, which normally takes too long time until it delays the implementation of projects by the private sector. “Therefore, the State Government will strengthen the capacity of the local authorities in six zones to process and approve development plans so to make it faster and efficient, as this is very important in spurring the industrial development in various economic sectors, especially the Small and Medium Industries (SMI) and the construction industry,” he said. Some RM60 million would be allocated to encourage the private sector to switch to digital-era business. He said transformation into digital economy is a must under the new normal environment. “Online business and marketing has become a new norm, as a response to the current movement control order and post movement control order. Therefore, business in Sabah also need to be transformed fast into online business. “The way forward for us is to facilitate the private sector so they too will transform and be able to grab and benefit from opportunities in the era of new normal. The business model as well as the entire chains of production and services, including the processes involved, need to be changed. “New ideas will be encouraged and creative business models will be nurtured. Whilsts new businesses which have just started operations will be given the necessary support. The State Government is committed in facilitating this shift,” he said. He said RM10 million has been allocated for developing a Sabah Centralised e-Commerce Platform for assisting the private sector including the small and medium entrepreneurs, small-scale business operators, farmers or smallholders, fishermen and breeders to switch to e-commerce. This would make it easy for producers of products and services in Sabah to do online business, he said, adding the Government will also assist in making sure the products traded using the said platform are of good quality and safe for consumption.

“Compliancy to the set standards and certifications will definitely add value to the products and services. Apart from that, training will be also be given to speed up the switch to e-commerce by the traders and entrepreneurs from various industries in the State. Production is expected to increase the business and demands grows, where this will lead to the opening of new job opportunities. The Government will continue to support and facilitate the private sector roles in this through necessary consultation services and incentive schemes,” he said.

The State Government would allocate RM50 million for assisting the small and medium entrepreneurs in strengthening their related value chain and logistics. It would also create Digital Transformation Unit under the Chief Minister’s Department to coordinate and implement the planned digital transformation initiatives. To benefit and expand economic opportunities in the agro-food sector, Mohd Shafie said the State Government will make full use of its advantages in terms of having vast and fertile agricultural land as well as its sea which is rich with marine life to become a supplier of agro-based food and seafood in the region and globally.

“The uncertainty across the globe and in trades as well as the concern over shortage of food supply has prompted many food producing countries to look for strategic partners to produce food for domestic consumption. “Thus, Sabah can benefit from this opportunity by opening and welcoming investment from neighouring countries like Singapore and Brunei Darussalam,” he said.

He said the State Government has identified 10,000 acres in Trusan Sapi, Sandakan, for production of food crops in line with the Food Security Policy.

He said 4,500 acres has been earmarked for padi, while the rest 5,500 acres for other food crops. “At the same time, the State Government through Sabah Agriculture Blueprint 2021-2030 has identified more areas in various districts suitable for agro-food activities like aquaculture, livestock, fruits cultivation and other food crops. “Apart from providing for large-scale investment opportunities in the food production field, the effort to double up the agro-food activities will also provide new job opportunities and activate the rural economy.  
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