KUCHING: Sarawak is working closely with the private sector to finance its transition towards a green, low-carbon economy, says Tan Sri Abang Johari Openg.
The caretaker Premier said this involves a hybrid financing model to meet the state’s development needs, with the private sector playing an important role as the engine of growth.
“Government provides the facilities and also the policies to comply with the global economic landscape, but the people who really do it is the private sector.
“That’s why there must be hybrid financing. The government has revenue and at the same time, we can raise bonds or sukuk.
“The private sector also can execute what they want to do through private financing,” he said in a fireside chat at the Powering Forward: Financing Sarawak’s Industrial Transition forum here yesterday.
Abang Johari said hybrid financing would be key in the development of Tanjung Embang into a new area of growth.
The proposed projects in Tanjung Embang include a gas terminal, aerotropolis, international airport and deep sea port.
“This means a lot of infrastructure has to be done, and the one that can execute it is the private sector,” he said.
Abang Johari also said the development of the new airport and port took into consideration Sarawak’s location within South-East Asia and the wider Asian region.
The state’s other competitive advantages include renewable energy, low tariffs and free tertiary education policy, providing a ready pool of talent.
“When I engage with potential investors, what they like is not only our power and our water but our policy in education, because you can get the latest people who know about modern technology,” Abang Johari said.
Organised by the British Malaysian Chamber of Commerce in collaboration with Invest Sarawak and Standard Chartered, the one-day forum was attended by business leaders, government officials and industry stakeholders to discuss finance, technology-enabled decarbonisation and greater participation by local businesses and vendors in Sarawak’s transition ambitions.
In his welcome remarks, British High Commissioner to Malaysia Ajay Sharma said Britain is keen to work with Sarawak in delivering the state’s green transition agenda.
He said Sarawak’s advantages in clean energy, natural resources and industrial ambition, paired with Britain’s expertise in green finance, technology and innovation, offer significant opportunities for collaboration.
“If we bring these strengths together, we can turn Sarawak’s green ambitions into investable projects and investable projects into sustainable economic growth,” he said.
