HERE WE GO: Tourism Minister Datuk Amar Abang Johari Tun Openg (third left), who is also the people’s representative for Satok, walks alongside assemblymen (from left) Dr Johnical Rayong Ngipa (Engkilili), Dr Murni Suhaili (Daro) and Assistant Minister of Tourism Datuk Gramong Juna (Machan) as they proceed for the one-day sitting. — Photo by Muhammad Rais Sanusi
KUCHING: Sarawak is projected to achieve economic growth of between six and seven per cent per annum during the 11th Malaysia Plan (11MP).
During this period, the government aims to raise the income level and reduce the income disparity of Sarawakians, said Chief Minister Datuk Patinggi Tan Sri Adenan Satem yesterday.
He told the State Legislative Assembly (DUN) that the nominal gross domestic product (GDP) was expected to increase from RM122.5 billion in 2015 to RM171.3 billion in 2020.
“During the same period, the nominal GDP per capita is also expected to increase from RM46,489 to RM61,406. Under the 11th Plan, all sectors are expected to register positive growth.
“The key drivers of growth are construction, services and manufacturing sectors,” he said when tabling the state’s 11MP during the one-day DUN sitting here.
Adenan said the services sector, which would be driven by the growth of finance, insurance, real estate and business services at 11.1 per cent and wholesale, retail, accommodation and restaurant at 10.4 per cent, was expected to contribute about 41.3 per cent to the state GDP.
The manufacturing sector was expected to contribute about 28.8 per cent to the state GDP, he said, adding that this growth would be driven by both external and domestic demands, especially by industries in the Sarawak Corridor of Renewable Energy (SCORE) areas.
“The construction sector is projected to contribute about 4.8 per cent as more funding from both public and private sectors are expected to be injected into the state economy.
“This will be contributed by the construction of the Pan Borneo Highway, manufacturing plants in the SCORE areas and several power plant projects.”
He said the agriculture sector was expected to grow at 5.5 per cent with higher production of palm oil due to higher yields and the increase in matured areas.
The mining and quarrying sector was projected to perform better at 1.4 per cent due to enhanced oil recovery that would increase the production of crude oil and natural gas, he added.
Adenan pointed out that the state economy was expected to be driven by both private investment and consumption.
“The private investment is expected to experience a robust growth at 11.1 per cent. This is due to the improved investment eco-system that will attract more new investment into the state especially into the SCORE areas.
“Similarly, private consumption is expected to grow at 6.9 per cent, to be underpinned by the steady growth in household spending and favourable labour market. For this reason, the unemployment rate is expected to remain below four per cent.”
Public investment, he said, was expected to grow at 6.2 per cent, while public consumption was projected to grow at 5.9 per cent.
“The external trade is expected to remain positive as the global market condition improved. Our real export is expected to grow at six per cent and import will grow at 5.7 per cent. The increase in import will be supported by the expansion from both domestic and foreign investments in the state.”