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SABAH for Sabahans slogan is most beneficial when Sabahans have deep desire to reap the benefits from it.

“God helps those who help themselves.” Sabahans have failed to help ourselves.

Thanks to CM Hajiji. He has succeeded to transform and restructure Sabah’s economy sufficiently for Sabahans to stride out in his 2nd term, with purpose and confidence, to participate in the building of our economic future.

Sabahans have not helped ourselves enough for too long. Very silly, Sabahans have outsourced to non-Sabahans, especially Malayans, to determine our economic destiny while our leaders fight among themselves and for their own interests and pockets since MA63. Result? Sabah got exploited very badly by outsiders. The Sabah’s economy has been mauled to skin and bone. A definitive change is underway.

It is now or never. Political leaders and ordinary Sabahans must come out from the shadow. Sabahans, especially the businessmen, professionals and young Sabahans, must take charge of our future assertively. Sabahans must STOP being spectators, outsourcing our economy to outsiders, sit back, and complain ceaselessly. Sabahans must not expect manna to fall from heaven. Sabahans must forcefully position ourselves to be in the centre of Hajiji’s revitalised economy.

Hajiji’s economic restructure has made considerable progress. Now is the time to transform KK into the economic capital of Borneo. 

Sabahans must be assertive to transform KK to be Borneo’s Economic Capital. Sabahans must grab this unique opportunity to transform KK into Borneo’s economic capital. This opportunity will slip away if Sabahans do not wake up to it and peruse this objective aggressively.

Sabah is making impressive progress in the transformation of Sabah’s economy from basic commodities to manufacturing. Sabah has been successful to reclaim oil and gas and is establishing a vibrant oil/gas industry. Progress of CCA’s implementation is smooth.

Petronas has announced commencement of exploration in Sabah’s East Coast called the Tawau Basin. This is a major add-on development to existing exploration on the west coast.

Tourism and conventions are coming together. Jafry Arrifin will produce initiatives to propel these 2 industries further. Sabin as Mayor has made considerable improvements in the management of DBKK and its services to KK’s residents.

With his experience as CEO of IRB, he has the necessary vision and management skills to transform KK into the Borneo’s Capital.

Why KK can be Borneo’s economic capital?

Most importantly, Hajiji has achieved meaningful political stability.

A lot of hype about Nusantara. But it is going to Indonesia’s administrative capital only, like Canberra and Washington. It will not serve as Indonesia’s Economic Capital. Jakarta will remain the Economic the economic capital.

Hajiji’s investor-friendly policies has attracted historical numbers and largest amounts of investments. KK is the largest point of entry and natural location for their regional offices.

Sabah stands to receive RM58.319 billion worth of investments, including RM42.3 billion in additional investment proposals from 2022-2024. (The Star, February 24, 2025).

More investments will come in Hajiji’s 2nd term.

Sabah has more than 5,000 certified professionals, most of whom are in KK. They can form a core to establish Sabah’s service industry to cater for Borneo.

KK has a very strategic location with a lot of geopolitical, geoeconomic advantages which remain untapped by Sabahans.

Nearest to China, Japan, South Korea. Sabah is situated ideally between North Asia and Australia/NZ and 8 nations of the South Pacific. This area will continue to enjoy high economic growth.

China and USA have great interest in South China Sea and South Pacific. KK is situated appropriately.

KKIA has the most extensive aviation connection in Borneo to the outside world, especially to China, South Korea, HK, and Taiwan. Please see table.

Sepangar Port, with its management by DP World, has potential to become a major regional port for Borneo. POIC LD which will be a Free Zone approval from Federal Government, will become a very important regional marine hub.

Sabah is nearest to Spratly Islands where there is a huge oil/gas deposit. Exploration is inevitable by various claimants especially China.

Malaysia and Indonesia have agreed to joint exploration for oil and gas in Ambalat sea block between Sabah and Celebes.

Oil and gas industries, both upstream and downstream, are growing fast. 

 KK is already the de facto Borneo’s Capital in tourism. [please see chart] 

KK has more tourist arrivals than any city in Borneo. KK has much more international flights per weekly than any city in Borneo.

KK has more 5-star hotels than any city in Borneo.

KK has SICC for MICE tourism.

KK has more middle class, more vibrant economically than any city in Borneo. 

KK can quite easily become an aviation hub in Borneo. Sabah should strongly express its wish to the Federal Government for KKIA to get 6th freedom. 6th Freedom of the Air grants an airline the right to carry passengers and/or cargo between two foreign countries via its home country.

DBKK can take on leadership role in transformation of KK into Borneo’s Tourism city.

Already DBKK has some plan to implement KK as the tourism city. What will add on to good effect will be a comprehensive plan to promote high value tourism. Ministry of Tourism and DBKK can take the lead with Sabah Tourism, major hotels, airlines, police, and other stakeholders to transform KK into Borneo’s tourism capital into a reality. 

Encourage tourism stakeholders to compete on quality of service, NOT cheap prices.

Price is a function of Quality of service.

Perceived Value: For tourists, price is not just about the monetary cost; it is about the perceived value they receive. Value is the trade-off between the benefits (quality of service, experience, convenience, etc.) and the sacrifices (price, time, effort).

2 Shangri-Las in Sabah have proven quality of service can command higher room rates. They are doing much better than other 5* hotels with much cheaper pricing.

Singapore is most successful in tourism in Asean. It is also most expensive by far!

Most important, upgrade KK to give tourists:

Quality of service. Present service level is mediocre.

Promote life style experience.

Organise, upgrade, and expand availability of food.

KK has very few decent restaurants.

Little promotion of ethnic food. Stage daily street food. Common practice in many great cities.

Promotion of local fruits, especially durians which can draw high end tourists. Organise shows by international and local entertainers. This can be a great tourist attraction. Encourage private sector investors to create more tourism products and venues.

KK has the best sunset and water front---grossly under marketed to earn revenue. Maintain visible security. Safety and security are quite good already. Make them better and use them as promotion features.

Make KK the “must visit” city in Borneo in tourism promotion.

Most important principles for all KK tourism stakeholders to remember:

High-end tourists attract other high-end tourists: Low-end tourists can repel high-end tourists:

Transforming KK to be Borneo’s Logistic Hub Capital.

KK will have solid foundations for a logistic hub by gelling together Aviation Connectivity of KKIA, Sepangar and POIC [especially its FZ status], Internet, Commercial infrastructures, SICC.

KK’s Aviation Connectivity is already the best in Borneo. This will expand bigger when Sabah has a transformation plan in tourism and commerce.

KK has got BICAM [Borneo International Centre for Arbitration and Mediation]. The first in Borneo. Tan Sri David Wong, former Chief Judge of Sabah and Sarawak, is the founding chairman.

SPC [Sabah Professional Council has been formed] can play a critical role in transforming KK as the Commercial/Service Capital of Borneo.

Many investors have come in and are still coming. Work with them to use KK as their regional operation, sales/marketing, training, and procurement centres.

Transforming KK into Borneo’s Centre for Professional Services. 

Sabah has more than 5,000 professionals, most of whom are in KK.

SPC [Sabah Professional Council] has been formed. SPC can and should play a vastly expanded role in establishing KK as Borneo’s economic capital. KK has the greatest variety of professionals in Borneo.

Sabah has 13 Sabah based professional associations which can form the core for the service industry. They are the component members of SPC cover various disciples in medicines, legal practitioners, engineers of various disciplines, surveyors, accountants, environment experts. 

SPC has set up a one-stop agency to cater for investors and for projects across Borneo. Transformation of KK into Borneo’s economic capital does not need enormous funding.

KK is already the de facto economic capital of Borneo. KK is the front runner for the Capital of Borneo trophy!

Needed are a set of conducive policies, political will, facilitation by the State Government, collaboration between Government, GLCs and private sector stakeholders and plenty of initiatives and ideas from the business community. 

The economic benefits of transforming KK into Borneo’s economic capital will far outweigh the minimal cost.

The views expressed here are the views of the writer and do not necessarily reflect those of the Daily Express. If you have something to share, write to us at: Forum@dailyexpress.com.my