KOTA KINABALU: Sabah is set to lift the ban on barter trade between southern Philippines and Indonesia on Jan 1 next year.
Chief Minister Datuk Seri Mohd Shafie Apdal said the State Security Council decided to lift the ban on barter trade, which was put in place in April 2016, to encourage economic activities within the eastern Sabah region that are nearest to the two countries.
He said that strict standard operating procedures and guidelines will be put in place to ensure that the barter trade is not abused.
He said the key trading points would be in northern Kudat, east coast Sandakan, Tawau and Lahad Datu.
“It will help local entrepreneurs and encourage business growth for all,” he said after chairing the state security council meeting.
Shafie said that among the guidelines was to stop the trading of subsidised goods like gas cylinders.
Following a spate of cross border kidnappings in 2016, the then state government ordered a ban on barter trade that at that time was blamed as among the cause of the kidnappings.