Sabah-China strategic partnerships model of international cooperation in ASEAN

KOTA KINABALU (Nov 22): Strategic partnerships between Sabah and China not only benefits both economies but also serves as a model of international cooperation in the ASEAN region.

Deputy Chief Minister II Datuk Seri Dr Joachim Gunsalam said this is especially since Sabah today stands at an important juncture in its development journey.

Joachim highlighted that the state, blessed with its abundance of natural resources and a strategic location, is rapidly emerging as a key gateway to the ASEAN market.

He said its proximity to major Asian economies makes Sabah an ideal investment destination, as he shared key aspects that make Sabah a compelling partner for Chinese investors.

Firstly, he said Sabah is not just seeking growth, but is also pursuing sustainable development that preserves its natural heritage while embracing modern technologies.

Joachim shared that the state’s economy has shown remarkable resilience and growth, with its services sector expanding by 4.5 percent in 2023, contributing approximately 51 percent to Sabah’s Gross Domestic Product (GDP).

He said this growth was primarily driven by tourism-oriented industries, highlighting the strength of the state’s tourism sector, which is particularly evident according to the latest statistics.

From January to July this year, Sabah welcomed more than 700,000 international visitors, with Chinese tourists forming the largest segment at more than 200,000 arrivals.

This represents an extraordinary 905.9 percent increase from the only around 26,000 Chinese arrivals during the same period in 2023.

“These numbers not only reflect the strong bonds between Sabah and China but also demonstrate the immense potential for further growth in our tourism sector,” he said.

Joachim said this when delivering his keynote address during the Malaysia (Sabah) – China Business Summit opening ceremony at the Sabah International Convention Centre (SICC) here today.

Secondly, he said Sabah is committed to renewable energy initiatives that offer substantial investment opportunities while maintaining its commitment to environmental concern.

Through the Sabah Energy Roadmap and Masterplan 2040 (SE-RAMP 2040), Sabah is aiming to attain over 50 percent renewable energy generation mix in terms of megawatt (MW) capacity by 2035.

“This also aligns with the aspiration of digital transformation through our e-Government initiatives and digital infrastructure development, creating a business-friendly environment,” he said.

Thirdly, Sabah places emphasis on human capital development, with over 90 percent of its population now having access to basic healthcare and improved education systems.

“We are building a skilled workforce ready for the future economy. Our collaboration with Chinese partners in technology transfer and skills training will be crucial in this journey,” he said.

Regarding the business summit, Joachim expressed excitement on the forums held addressing, smart infrastructure, food security, tourism ties, and renewable energy.

The State Local Government and Housing Minister said this since these sectors represent immediate opportunities for collaboration between Sabah and China.

“The presence of Chinese businesses and investors at the Malaysia (Sabah) – China Business Summit today reflects the strong foundation of trust and cooperation between Sabah and China.

“Our tourism sector has seen remarkable growth in Chinese visitors, and we are ready to expand this success to other sectors.

“As we move forward, I invite our Chinese friends to explore the various opportunities presented during this summit – from our industrial parks to our renewable energy projects, from our digital economy initiatives to our tourism sector.

“Together, we can build a partnership that not only benefits our economies but also serves as a model of international cooperation in the ASEAN region,” he said.