RM45 bln investments in SDC realised – Musa

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KOTA KINABALU: Projects planned under the Sabah Development Corridor (SDC) are expected to continue attracting more foreign investors, said Chief Minister Datuk Seri Musa Aman.

“We are expecting the investment momentum at SDC to continue gathering pace, especially with the economic recovery in the United States and European Union, and the attention of global investors shifting to Asia, especially ASEAN countries,” he said.

Speaking during the 16th Meeting of Members of the Sabah Economic Development and Investment Authority (SEDIA) here yesterday, he said RM1.45 billion or 82.8 per cent of the total federal government funding that was allocated for SDC projects under the Ninth and Tenth Malaysia Plans had been disbursed as of this year.

At the same time, a total of RM135 billion worth of cumulative investments have been planned and committed since the launch of SDC in 2008, of which about RM45 billion had been realised.

Musa, who is also the chairman of SEDIA, said the implementation of the various flagship projects and the strategic direction for SDC, were strengthening Sabah’s competitiveness as a preferred investment destination.

He noted that SEDIA had taken the necessary measures to develop critical infrastructure, enhanced Sabah’s human capital, sharpened competitive edge and laid the foundations for an innovative and knowledge-driven service-based economy.

“These measures will enable Sabah to move to higher gear as we move into the third phase of SDC. As global economic competitiveness is increasingly determined by efficiency of services as well as an adaptable and talented workforce, SEDIA is engaging industry players to identify and implement measures directed at enhancing the efficiency of the logistics sector by improving the relevant infrastructure.

“SEDIA is also looking at measures to enhance the efficiency of air connectivity and logistics and eventually the integration of land, sea, and air services as well as the improvement of broadband internet services.

“In this regard, I am happy to note that SEDIA has been working closely with the Institute for Development Studies (IDS), academic and training institutions and other stakeholders to address human capital development issues.

“I was informed that SEDIA is working with University College Sabah Foundation (UCSF) for the establishment of the Sabah Animation Creative Content Centre (SAC3), which is an incubator facility to support the creative industry under SDC.

“SEDIA has also been supporting collaborative linkages with the University of Salford at Greater Manchester to allow academic staff to acquire higher degrees and to engage on a range of collaborative activities in research and teaching specifically in the development of digital content as well as to gain exposure to the MediaCity UK, which is a dedicated creative industry cluster in the UK,” he said.

Musa also reported that SEDIA and UCSF were planning to expand the collaboration into the development of high value agricultural and agro-biotech products through a joint programme at the Sabah Agro-Industrial Precinct (SAIP) in Papar.

He said both parties would work to establish a Design and Innovation Centre within the designated Knowledge Park at the precinct, paving the way for Sabah’s participation in the knowledge-based economy.

The Chief Minister also noted that SEDIA had launched initiatives to support the development of SMEs, start-ups and Bumiputera entrepreneurs to ensure that no one was left behind.

SEDIA was collaborating with TERAJU through the TERAJU@SDC programme to develop Bumiputera entrepreneurs, as well as working with the Ministry of Science, Technology and Innovation for the SAIP programme, and with agencies under its umbrella to pursue knowledge-intensive initiatives, he said.

He also said the decision by Petronas to give the Sabah State Government a 10 per cent stake in the LNG 9 project in Bintulu augured well for the development of the oil and gas sector, and is expected to have a significant impact and spin-off to the state’s economy.

Musa also called for state and federal agencies in Sabah to work closely with SEDIA to ensure that investment and development initiatives under the SDC are effectively implemented.