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New consulates a confidence vote on Hajiji
Published on: Sunday, March 01, 2026
Published on: Sun, Mar 01, 2026
By: Datuk John Lo
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New consulates a confidence vote on Hajiji
CM’s Datuk Seri Hajiji’s economic revamp and transformation are being given serious recognition! The opening of new consulates by two of Asia's most significant economic powers – India (pending) and Singapore – at the same time is a rare diplomatic “double-win” by Hajiji.

Any country must have a good reason to open a consulate in Sabah.

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The reason for countries wanting to open a consulate in Sabah is like the increasing interest of senior international/KL bankers and businessmen wishing to participate in the expanding economy of Sabah. 

They are coming for new exciting economic opportunities in the new Sabah that Hajij is creating. 

The proposals to open their respective Consulates did not come from the usual diplomatic channels. Very significantly, the Indian Prime Minister Narendra Modi and Singapore Prime Minister Lawrence Wong gave their proposals to set up their respective Consulates directly to PMX during their official visits to Malaysia. Tremendous honour for Sabah that Narendra Modi have selected Sabah, not any states in Malaya or Sarawak. Singapore will open consulates in Sabah and Sarawak.

Weird logic not to welcome India setting up its consulate in Sabah.

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India’s PM, Modi, announced his intention to set up the Indian Consulate in Sabah during his recent official visit to Malaysia. He did not choose any state in Malaya or Sarawak. He has chosen Sabah. Shockingly and sadly, some Sabah leaders, very unwisely, have expressed reservations on his proposal. Instead, they said that Sabah should pursue and persuade The Philippines to set up its consulate in KK because of the huge presence of illegal Filipinos.

Surely, they are aware that The Philippines government will not set up its Consulate cos it still harbours the unrealistic ambition over the claim of Sabah. Its Foreign Affairs Ministry have said so again. Sabah has even been incorporated in the Map of Philippines.

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We should welcome the Indian Consulate with open arm like we have done so to the Chinese Consulate, Japanese Consulate, South Korean Consulate, Brunei Consulate and Japanese Consulate.

Wishing for a Filippino Consulate will remain a daydream. The Indian Consulate can bring substantial economic benefits to Sabah.

New consulates in KK are a recognition of Hajiji’s economic success for Sabah.

Sabah should welcome all friendly countries to establish Consulates in our State. Other states are dying to have them.

Countries wanting to set up Consulates or appointing honorary consuls do so because they want to establish closer relationship with Sabah. This is a good recognition for Sabah. Also, there are economic opportunities for Sabahans as Consulates are vital direct conduit for Sabahan businessmen to establish contacts with their counter parts in these countries.

Within a few years since Hajiji has taken over as CM, South Korea’s Consulate was opened at Plaza Shell on 26 September 2023. The new consulates of Singapore and India are clear manifestations of the rapidly growing economic importance of Sabah and the expanding opportunities under the Hajiji’s government.

Sabah has the distinction of hosting more Consulates [7] than any states in Malaya and Sarawak. Penang has 4.

Why should Sabah welcome the Indian Consulate? Answer: India is the fastest-growing economic superpower.

Look at this chart. It is self-explanatory.

The attached chart shows India’s fast expanding economy and its relative importance in the world economy.

India’s growth rate is faster than China.

India is currently the 4th largest economy, having over-taken Japan recently. Germany, with the on-going massive economic problems within EU, will likely be overtaken by India within the next few years, if not sooner.

In addition to its largest population in the world [India has overtaken China!], India has the largest young population, highly tech savvy and eager to push on. India has the biggest number of CEOs managing the top 500 Fortune American companies. China has a fast-aging population.

India can offer very exciting economic opportunities for Sabah, much more than The Philippines. Indian economic importance and potentials for Sabah in oil palm. India can be a huge market for Sabah made products.  India has been and is the largest buyer of Malaysia’s CPO, 2.55 million tons in 2025. Likely to increase rapidly as the Indian economy expands. From Sabah, the average sales to India are between RM900 million and RM1.1 billion. Main ports of export are Tawau, LD and Sandakan. 

Sabah is Malaysia’s largest producer of CPO at about 5.5 million tons. there are vast opportunity for Sabah to attract downstream investment from India. The new Indian Consulate can play a pivotal role to promote billions of investments. 

Indian economic importance and potentials for Sabah in tourism.

The chart below says it all.

India can be a source of high value tourists for Sabah. 

The experience in Malaya supports this assertion. Indian tourists are bigger spenders and stay longer than average international visitors!

Boosted by 30-day visa free stay, India is now the 4th largest contributor to Malaysia’s [Malaya’s! not Sabah], tourism revenue, surpassing several traditional European and regional markets. Arrival in 2025 was 1.56 million. 

Total Receipts (2024): RM 6.11 billion (approx. USD1.38 billion).

Growth: This represents a massive 79.3% increase compared to 2023 (RM 3.41 billion).

Market Share: Indian visitors account for roughly 5.7% of Malaysia’s [Malaya’s] total inbound tourism expenditure (RM 106.8 billion).

Expected in Visit Malaysia 2026 is 2.1 million. 

Unfortunately, very few Indian tourists come to Sabah. We must get some of this action.

Opportune time for Sabah to refocus promotion on India with the setting up of the new Indian Consulate and Visit Malaysia 2026.

Indian economic importance and potentials for Sabah in other sectors. 

First thing first. The halal market is huge in India. It has 215 million Muslim which is the 3rd largest Muslim population in the world, behind only Indonesia and Pakistan.

The chart below shows potential areas that investment can come from India.

India can be a good partner in Blue Economy for Sabah.

India is currently making a massive strategic pivot toward the ocean, transitioning from a land-centric economy to a “Blue Economy” powerhouse. As of early 2026, the sector is no longer just a “potential” driver; it has become a central pillar of India's Viksit Bharat 2047 goal.

Sabah leaders: Stop being parochial. Stop objecting the setting up of the Indian Consulate in Sabah. 

Some Sabah leaders’ narrow-mindedness is quite frightening. This sort of inward mindset, if they don’t broaden their outlook beyond the boundaries of Sabah and Malaysia, will imprison Sabahans. It will lock us up in an economic dungeon for another 40 years.

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
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