PM TALK ON SABAH BIO-DIVERSITY

By : OXFORD BUSINESS GROUP

OBG : HOW is the Malaysian government seeking to promote the strategic advantages of Sabah on both a domestic and international level?

NAJIB: Sabah is an important state for Malaysia for many reasons. First, Sabah has abundant natural resources. Apart from oil and gas, the state has a great deal of biodiversity and plays a significant role in agricultural production on a national level.

Additionally Sabah has a great deal of potential where tourism is concerned, particularly in ecotourism. As a state it is almost unrivalled in natural attraction for tourists.

The flora and fauna are a big draw on their own. with the rainforests being home to many plants and animals not naturally found anywhere else, such as orang-utans. The geography also creates a beautiful landscape with pristine beaches and mountains, such as the world·famous Mount Kinabalu.

Most importantly, Sabah has shown that it can maintain a balance in ensuring the growth and development of its natural resources while also preserving the environment.

There are strong sectors in Sabah that lit nicely with tourism developments and the natural setting. Five-star hotels, restaurants and shopping options complement Sabah’s natural beauty. As a package Sabah is one of the most attractive destinations in the country

OBG : How will the federal government go about encouraging a private sector led economy in Sabah?

NAJIB:This is along the same guidelines and principles as our national objectives, We give incerrtivesito the private sector to invest in states like Sabah, Part of our public-private partnership (PPP) facilitation fund can be used for developments, includingthose in the tourism sector The recent announcements of two key developments offer prime examples of this approach.

First, there is Karambunai development, which will be a great source of support for the tourism industry. Second, and more recently, there is the development of a resort on Pulau Gaya lsland, Additionally progress on existing projects is set to continue. These include the Sutera Harbour resort, which is a very attractive development for private sector investment.

OBG : What can be done to boost market confidence and inflows of foreign direct investment (FDI)?

NAJIB: There has already been a marked improvement in terms of FDI in comparison to 2010. This is partly due to overall conhdence sparked by the Iong·term goals laid out by the country. The Economic Transformation Programme has gained a great deal of traction within the global investment community, which has increased inflows of FDL By promoting what makes Malaysia competitive factors including good governance, human capital, confidence in the legal system, low crime rate and lifestyle - it is easier to predict and boost the confidence levels of potential investors.

Customised incentives are becoming increasingly important. These must be approved by the Economic Council and allow for packages that attract investment which otherwise may not have come into the country.

Customised incentives will continue to play an important part with regard to investment inflows.

OBG : What are some of the main foreign policy goals in 2011, particularly with regard to the Asian region?

NAJIB: Our foreign policy has always been based on principles that take into account the key strategic areas that will help us in our questto transform Malaysia in accordance with our New Economic Model. Keeping these critical and important areas for our national development in mind, ASEAN and East Asia will form our key focus areas, as these are our neighbours.

Additionally, there are other areas that would provide us with strong impetus for reaching our economic transformation goals. These include the potential to trade with areas and countries like India, the Gulf Cooperation Council and the US. We are always working to improve our global ties, particularly with our traditional partners like Australia, New Zealand, Europe and the Organisation ofthe Islamic Conference countries.