SUCCC sees greater economic spin-offs from State Budget
KOTA KINABALU: The Sabah United Chinese Chambers of Commerce (SUCCC) yesterday hailed Chief Minister Tan Sri Musa Aman’s surplus budget as a sign of further economic progress to come in critical areas of the state’s economy.
Its president, Tan Sri Andrew Liew said the budget announced last Friday, would create greater economic spin-offs and business opportunities for all Sabahans, from taxi drivers and durian farmers to those involved in the tourism industry.
“Tourism has been allocated a tremendous amount. This will set the pace for the promotion of tourism.
“The impending completion of the Sabah International Convention Centre and Tanjong Aru Eco project will create a tourism destination in itself,” Liew said in a statement yesterday.
He added that the budget would also attract more investments to the state.
On Friday, Musa proposed a total budget expenditure of RM4.1 billion for the year 2018, which is a surplus of RM64.89 million from its total revenue, double the surplus announced last year.
A key attraction was the budget’s 100 percent increase in special allocation from RM53 million to RM115 million next year.
From the allocation, RM12 million was set aside for the state tourism ministry, especially for the development of the tourism industry in rural areas with the participation of local communities.
It also included RM7 million for cleaner towns and RM8 million to restore toilets, playgrounds, jogging tracks and public parks; beautify old buildings; and install security cameras in public places.
Some RM1.33 billion meanwhile was allocated for infrastructure and transportation.
Liew said the budget was made possible through Musa’s prudent financial management.
He added that Sabah’s revenue base had broadened considerably from a commoditybased economy to one based on the service and manufacturing industry.
“These two industries have contributed 70 to 80 percent of Sabah’s economy. This is a remarkable achievement since Musa took over the reins of the Sabah government in 2003,” he said.
Liew said many other states do not have the luxury of a ‘decent-sized reserve’ in the state treasury like Sabah, and were highly dependent on handouts from the federal government.
“Sabah has a very decent state reserves which, in layman’s term, is like ‘a big amount of savings in the bank’. The role of this reserves cannot be overestimated in its benign and positive inf luence of Sabah’s economy, and has positioned Sabah to enjoy budgets like this one,” he added.
Liew also hailed the progress of the downstream industry in the Sipitang Oil and Gas Industrial Park, saying Musa’s decision to expand downstream would protect Sabah’s economic future.
Likewise, he said agriculture would continue to be an important part of the state’s economy which is dominated by oil palm.
“For the smallholders, funds have been allocated for the development of crops which will help them increase their income. Eyeing the export market for durians is a good example,” he said.
He also said that the significant allocation given for the development of youth and women shows the State Government’s recognition of how important these segments of society are to the progress of the state and nation.
“Overall, it is a budget that has taken into account the needs of the state’s socio-economic development, the economic sectors and the welfare of various target groups like women, single mothers, youths, the disabled and many more,” he said.