Measures have boosted business confidence in Sabah, says Musa

Kota Kinabalu: Chief Minister Datuk Seri Musa Aman on Thursday said the measures introduced by the Federal Government under the 2013 Budget would definitely help Sabah, especially in the Sabah Development Corridor (SDC), to attract investments and narrow the socio-economic gap between Sabah and the rest of the nation.

According to him, the total cumulative investment committed under the private sector-led SDC projects, as at Sept 30 since the launching of SDC in 2008, has reached RM114 billion.

"An amount of RM1.136 billion had also been disbursed out of the total RM1.39 billion under the Ninth Malaysia Plan (9MP) and Tenth Malaysia Plan (10MP) allocations which had been channelled to Sedia as of Sept 30," he said at Sedia's 11th Meeting at Wisma Sedia, here, Thursday.

He expressed belief that the measures introduced in aligning the SDC with the ETP, GTP and the 10MP coupled with the progress made in the implementation of SDC projects, especially SDC flagship projects such as the POICs in Sandakan and Lahad Datu, Sandakan Education Hub, Oil and Gas Clusters, Keningau Integrated Livestock Centre, Kinabalu Gold Coast Enclave, Sabah Agro-Industrial Precinct and Agropolitan Projects, have succeeded in boosting business confidence in Sabah.

"These developments have encouraged more private investors to consider participating in new investment projects, Entry Point Projects (EPPs) and Public-Private Partnerships (PPPs) in Sabah," he said.

Musa said he is happy that the expansion and development of new paddy granaries throughout the nation will include Kota Belud under the Federal 2013 Budget.

He was also pleased that Kota Kinabalu is included in the Federal Government plan to expand the Urban Transformation Centre, in stages.

"An efficient, high quality public transport system will also be introduced by Syarikat Prasarana Negara Berhad in Kota Kinabalu," he said.

For investment in the refinery activities on petroleum products, he said, Investment Tax Allowance of 100 per cent for a period of 10 years will be provided to qualified companies.

In this regard, he said, various investment totalling US$20 billion in oil and gas projects have been implemented in 2012.

These projects include the oil and gas terminal in Sipitang, he said.

The Federal Government also has noted that generally, prices of essential goods in Sabah and Sarawak are higher compared with Peninsular Malaysia due to the high costs of delivery and distribution.

To reduce the costs and prices of goods, Musa said, the Government has introduced various initiatives, including the price uniformity programme, provision of transport subsidy as well as opening of Kedai Rakyat 1Malaysia (KR1M).

"For this, the Government will allocate RM386 million to ensure essential goods in Sabah and Sarawak as well as in Labuan are sold at lower prices through the opening of 57 KR1Ms and to bear the cost of delivering products from Peninsular Malaysia to Sabah, Sarawak and Labuan, including the interior areas," he said.

Musa, who is also Sedia Chairman, said Sedia has been taking aggressive measures to assist in addressing the human capital requirement of investors in SDC, one of the programmes introduced is National Talent Enhancement Programme (NTEP).

This programme, he said, which aims to provide job emplacement for degree and diploma holders in engineering has been well received. To date, there are already nine hosting companies participating in this programme, he said.

"I was also informed that Sedia is in the midst of negotiating with local and foreign institutions of higher learning to participate in human capital development programme in Sabah, especially in the Sandakan Education Hub and also Interior Education Hub," he said.

Sedia, he said, has taken the initiative to promote new sources of economic growth in Sabah such as engaging the BiotechCorp to attract investment into the biotech sector, which is a new source of growth in Sabah.

Sedia also, he said, has started to organise programmes, including training courses in agro-biotech industries for SMEs and Start-ups in the Sabah Agro-Industrial Precinct.

"I am pleased to note that these programmes have been well received.

This augurs well for the development of the agro-biotech industry in Sabah.

"In this regard, I also wish to highlight that Sedia is also supporting the development of the creative industry in Sabah," he said.

Source of info : Daily Express