Phoong Jin Zhe
KOTA KINABALU: Sabah recorded RM2.4696 billion in approved manufacturing investments for 2024, marking a significant 63 per cent increase from RM1.51 billion in 2023.
The year-on-year growth of RM959.6 million underscores the state’s growing appeal as a key industrial hub.
Industrial Development and Entrepreneurship Minister Datuk Phoong Jin Zhe said the state recorded a sharp rise in foreign direct investment (FDI), which jumped from RM16.6 million in 2023 to RM962.3 million in 2024. The increase was largely driven by the Kibing Group’s RM950.6 million investment to expand its third production line at the Kota Kinabalu Industrial Park (KKIP).
“Although official Q1 2025 figures from the Malaysian Investment Development Authority (MIDA) have yet to be released, I remain confident in Sabah’s investment performance this year, given the sustained momentum in investor interest and engagement,” he said in a statement today
To further strengthen Sabah’s investment ecosystem, he said the State Government has introduced seven strategic initiatives.
These include enhancing industrial infrastructure and upgrading utilities across all industrial parks, streamlining approval processes in collaboration with relevant agencies and promoting investment opportunities actively through Invest Sabah Berhad (ISB).
The state is also expanding its regional outreach through the Sabah Trade and Tourism Office (STTO) in Singapore, working closely with MIDA to leverage its global investment network, and conducting regular international business promotion missions. Additionally, the development of new industrial parks — namely the Kudat Blue Economy Industrial Park, Kota Belud Industrial Park, and Beaufort Industrial Park — is being accelerated.
Phoong stressed that continued investment by the Kibing Group reflects international investor confidence in Sabah’s economic direction.
“Moving forward, we will leverage tools like the Industrial Development Fund to attract high value-added industries and ensure investments contribute meaningfully to GDP growth and job creation,” he said.
He also pointed out that the share of FDI in total manufacturing investment grew from just 1.1pc in 2023 to 39pc in 2024 — a strong indicator that Sabah’s industrialisation agenda is entering a new and promising phase.
“To sustain this momentum, the State Government will continue enhancing investment facilitation, including the establishment of a dedicated One-Stop Investor Service Centre. We also look forward to launching three new specialised industrial parks in 2025,” said Phoong.
