Sabah, federal govt reviewing laws to boost industrial investment

LocalBusiness & Finance
9 Jul 2025 • 1:16 PM MYT
Daily Express
Daily Express

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By: Sabah Publishing House Sdn Bhd

The Sabah Government is working with the Federal Government to review outdated industrial development laws and investment incentives to better align with current global trends, said Industrial Development and Entrepreneurship Minister Datuk Phoong Jin Zhe.

Phoong told the State Assembly that several Acts are under review, including those affecting trade and investment.

“Some policies are no longer relevant in today’s evolving investment ecosystem,” he said.

window.googletag = window.googletag || {cmd: []};googletag.cmd.push(function() {googletag.defineSlot('/22826383987/dailyexpress_inline', [1, 1], 'gpt-passback').addService(googletag.pubads());googletag.enableServices();googletag.display('gpt-passback');});In response to questions from Moyog Assemblyman Datuk Darell Leiking, Phoong said the aim is to prioritise less developed states like Sabah through stronger incentives and better infrastructure planning.

Phoong also confirmed a comprehensive incentive plan including tax and non-tax measures is underway to make Sabah more attractive to investors.

He reiterated that the state remains cautious about approving high-demand projects, like data centres, due to infrastructure limitations.

The reforms are part of Sabah’s broader strategy to close the development gap with advanced states and position itself competitively in the region.