Approaches to tackle economic problems

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Abang Johari speaking during the webinar session.

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KUCHING: Sarawak is preparing itself with both short- and long-term approaches to tackle economic problems caused by the Covid-19 pandemic.

Chief Minister Datuk Patinggi Abang Johari Tun Openg said that in terms of the short-term approach, projects which had been approved by the government and were in the midst of implementation would be continued immediately once the government approved more economic activities to proceed.

He explained that these projects had been temporarily halted due to the Covid-19 pandemic and the introduction of the movement control order (MCO).

“These projects involve particularly the construction of our roads and bridges, our utility supply which is power and water, and our rural transformation projects,” he said, adding that this also included the Pan Borneo Highway.

“This will spur and stimulate our economy immediately,” he said during a webinar session titled ‘Post Covid-19: Sarawak the New Normal’ hosted by the Malaysia Productivity Corporation (MPC) on Tuesday.

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He further said that on Thursday, he would be officiating at the launch of the Batang Krian Bridge as part of the state’s coastal road construction, adding that this project would also have a positive economic impact.

With regard to the long-term plan for the post Covid-19 phase, Abang Johari said that the state would have to review their projects for the future.

He pointed out that the Sarawak Economic Action Council (SEAC) had been set up, involving academicians, professionals, and both the private and public sectors, to look into the state’s long-term measures for its economic development.

“There are 10 sectors to be looked into and the council will deliberate on the direction of the economy because we feel that after this Covid-19 pandemic, the original strategy in our 12th Malaysia Plan (12MP) is no longer relevant,” he said.

He said that the core would be based on digitalisation or digital economy as well as environmental sustainability — which would influence the 10 sectors identified.

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“This is our long-term plan and I have given the council a timeline of up to September this year. They will submit their recommendations for the government to consider. That will be our focus in the 12MP,” he said.

Meanwhile, he said that among the industries significantly impacted by Covid-19 and the restrictions of the MCO were tourism and manufacturing, as well as the services sector.

Abang Johari noted that these restrictions had deprived many of their economic activities and livelihood.

“With this background, the state government under our Bantuan Khas Sarawakku Sayang (BKSS) packages has injected about RM2.3 billion to complement the stimulus packages by the federal government.

“This will create a buffer for those affected by this Covid-19 pandemic, particularly those who are self-employed, small and medium enterprises (SMEs), and healthcare services,” he said.

He said that as far as Sarawak is concerned, the people have to accept that changes would have to be made including in their way of life to adapt to the new norm.

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The webinar session was moderated by MPC director-general Datuk Abdul Latif Abu Seman.

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