NATURAL GAS DISTRIBUTION SYSTEM - VIRTUAL PIPELINE SYSTEM

• Energy Corporation Sdn. Bhd. (SEC) is licensed by Suruhanjaya Tenaga to distribute natural gas in Sabah and Labuan • In 2012, SEC launched the Virtual Pipeline System (VPS) for the supply of Compressed Natural Gas (CNG) to customers located distance away from existing gas pipeline infrastructure. • VPS is a fully-modular design system that allows for the quick, easy and cost CNG Compressor – Capacity 3.8 mmscfd effective construction and expansion according to customers’ demand. • By combining state-of-the-art technology in natural gas compression, transportation and decompression technologies • Currently, SEC is supplying CNG to 9 industrial and commercial consumers.

VST 3 Trailers

Other Business:

Kinabalu North Shipyard and Maritime Sdn. Bhd. • Kinabalu North Shipyard & Maritime Sdn. Bhd. was established in 2008 to set up and operate a ship repair yard in Bay. It is a joint venture company owned by Weldan Marketing Sdn. Bhd. and Sabah Energy Corporation Sdn. Pressure Regulating Plant (PRP) Bhd. • Products: Providing Ship Repair Services SABAH ECONOMIC DEVELOPMENT AND INVESTMENT AUTHORITY (SEDIA) PALM OIL SECTOR

EPP1: Agropolitan EPP2: POIC

Agropolitan Palm Oil Industrial Cluster ( ) Invest GNI Jobs

RM 202m RM 68.3m 622 Invest GNI Jobs RM 1.21b RM 274m 1708

Agropolitan Kemabong Palm Oil Industrial Cluster Invest GNI Jobs ( )

RM 73m RM 23.3m 404 Invest GNI Jobs

RM 21b RM 8.4b 9467 PALM OIL INDUSTRIAL CLUSTER LAHAD DATU

• First dedicated palm oil industrial cluster of its kind in Malaysia, 4,400 acres • Designed to cater light, medium and heavy industries • Strategic geographical location; close to Philippines and Indonesia with access to deep-water port • To spearhead the development of palm oil downstream processing, to add value to its 1.5 million hectares of oil palm plantations, to create jobs and business opportunities. attract investments in port & logistics, biomass, bio refineries, oil & gas and related small and medium enterprises for the Halal Park@POIC.

Development • To-date, 1,700 acres in POIC Lahad Datu have been developed with infrastructure and utilities. • A Liquid Bulk and Dry Bulk terminal are presently in operation, while the Container Terminal (with a capacity of 250,000 TEUs) is under construction and due to be operational by 2017.

SABAH ECONOMIC DEVELOPMENT AND INVESTMENT AUTHORITY (SEDIA) PALM OIL INDUSTRIAL CLUSTER, SANDAKAN

Strategic initiative of the State government to further boost the oil palm industry in Sabah by creating investment opportunities in higher value-added downstream processing of palm oil

• Commercially marketed as SAWIT POIC, a total area of 2,800 acres of land is being developed in two phases. • Infrastructure and amenities are being set up: • Liquid Jetty Cargo port - Up to 50,000 DWT, berthing for tankers and barges with conveyor systems and methanol pipelines. • Road - 30 meter wide for 2 way traffic, a 20,15 and 12 meter wide road within commercial center and SMI area. • Power Supply - Ph2 = 65 MW • Water Supply - 12 MLD by 2018 (Ph2) • Telecommunication and Centralized Sewerage, Hazardous Waste Treatment

Downstream Energy sector Upstream i. Trans Free Food Investment i. Plantation Planting i. Bio-diesel (methyl ester) Products ii. Boiler fuel opportunities: ii. Materials i. Bio-mass iii. Farm Machinery iii. Biomass energy from oil ii. Nutraceuticals / palm residues iv. Mills iii. Phytonutrients iv. Oleo-chemical TURNING BIOMASS INTO FERTILISER MANUFACTURING AND LOGISTIC SECTOR

Main Line Operator Set Up at Industrial Sapangar Bay Port Park (KKIP)

Invest GNI Jobs

RM 4.69b RM 1.56b 23032 KOTA KINABALU INDUSTRIAL PARK (KKIP)

To catalyse economic growth for the state. KKIP is designed to be a modern integrated self-contained township that offers a comprehensive mix of investment, education, commerce, leisure and residential opportunities.

Located north of Kota Kinabalu, occupying an area of 8,320 acres

Readily available infrastructures: 1. Sepangar Bay Container Port Terminal (5 mins from KKIP) - Consist of 2 berths inner and outer with 12.2M draft - Able to cater to vessels of up to 30,000 DWT

2. Well-planned Roads & Drainage Systems

3. Reliable Electricity Supply - Underground cabling system - 4 IPPs (Independent Power Plant) with electricity supply up to 650 MW

4. Reliable Water Supply - Telibong Water Treatment Plant - Capacity 17.6 million gallons

5. Sewerage Treatment Plant

6. Telecommunication Facilities

Integration of KKIP as a Free Economic Zone within the Sapangar Transhipment Hub.

SABAH ECONOMIC DEVELOPMENT AND INVESTMENT AUTHORITY (SEDIA) Date Client Project v.01 55 EDUCATION SECTOR

Hospitality and Tourism Discipline Cluster

Invest GNI Jobs

RM 40.5m RM80m 460

Sandakan Private Skills Training Centers Education Hub Invest GNI Jobs Kimanis RM 328m RM155m 1013

International Marketing

Invest GNI Jobs

RM 10m RM33m 225 SANDAKAN EDUCATION HUB

A key SDC initiative to be a preferred location of choice for investment in higher education, research and development in Sabah by enhancing knowledge creation activities as well as human capital development

• Designed to cater to the needs of institutions of higher learning and research, having access to well-equipped public facilities as well as state of art modern infrastructure, comparable to research and education institutions elsewhere in Malaysia • Located at Sungai Batang, 16 km from the Sandakan City Center, 500 hectares

Completed and In Operation – 1. UMS School of Agriculture, 2. Sandakan Politechnic, 3. Maktab Rendah Sains MARA (MRSM)

First Art School in Sabah • The Malaysia Art School Sabah, built on 40 acre site, under the 11th MP, cost RM70 million • The art school is the fifth school to be set up in Malaysia after , Perak, and .

SABAH ECONOMIC DEVELOPMENT AND INVESTMENT AUTHORITY (SEDIA) Relocation & Redevelopment Jesselton Waterfront Karambunai Integrated Resort of Pulau Gaya Gaya Island Resort (YTL) Development City (KIRC)

GNI = RM 638 mil GNI = RM 31 mil GNI = RM 1.3 bil KK International Cruise Private Inv = RM 1bil Private Inv = RM 75 mil Private Inv = RM 1 bil Public Inv = RM 100 mil Terminal Public Inv = RM 175 mil Public Inv = RM 0mil Jobs = 200 Jobs = 1260 Jobs = 4000

Sabah Medical Centre (SMC) by KPJ

GNI = RM 851 mil Distribution of EPPs in Greater KK Private Inv = RM 1.89bil Public Inv = RM 210 mil Jobs = 4000 (1/2) GNI = RM 393 mil Private Inv = RM 200 mil Public Inv = RM 0 mil Sabah International Convention Jobs = 506 Centre (SICC) Gleneagles Medical Centre

GNI = RM 235 mil Private Inv = RM 269 mil Public Inv = RM 219 mil Jobs = 1000 GNI = RM 155 mil Private Inv = RM 471mil Public Inv = RM 0mil Jobs = ~1500 KK City Waterfront Ma’ang Hill Resort

GNI = RM 105 mil Private Inv = RM 500 mil •GNI = RM 20mil Public Inv = RM 0 mil •Private Inv = RM 100mil Jobs = 3200 •Public Inv = RM 20mil Jobs = 1150 Sembulan River By SP Setia Cycle Way & Pedestrian Beautification Central Bus Terminal Walkway (Wawasan) UMS

CBD

TG. ARU GNI = RM 181 mil GNI = RM 0 mil GNI = RM 0 mil GNI = RM 0 mil Private Inv = 0 Private Inv = RM 1 bil Private Inv = RM 0 Private Inv = 0 Public Inv = RM 24 mil Public Inv = RM 0 mil Public Inv = RM 4mil Public Inv = RM 34 mil Jobs = 4000 Jobs = 3000 Jobs =200 Jobs = ~200 Kokol Hill Expansion of Scuba Diving Integrated Culture & Water Taxi, Sport & Maritime Development Academy Entertainment Area Centre

GNI = RM 120mil GNI = RM 30 mil GNI = RM 72 mil GNI = RM 65 mil Private Inv = RM 100 mil Private Inv = RM 9 mil Private Inv = RM200 mil Private Inv = RM 20 mil Public Inv = RM 15 mil Public Inv = N.A Public Inv = RM 100 mil Public Inv = RM 1 mil Jobs = 200 Jobs = 400 Jobs = 100 Jobs = 800

Bus Rapid Transit (BRT) Extended time in Entertainment Distribution of EPPs in Greater KK Zone (2/2) GNI = 0 Private Inv = 288mil Public Inv = 70.2mil Jobs = 400

GNI = RM 163 mil Private Inv = 0 Bus Terminal Public Inv = 0 (North & South) Jobs = 150

GNI = RM 0 mil Private Inv = RM 0 Enhancement of Cultural Public Inv = 70mil Water Village Jobs = 1420

Healthcare – Full Paying Patient (1,000 beds)

GNI = RM 10 mil Private Inv = 0 Public Inv = RM 50 mil GNI = RM 410 mil Jobs = 100 Private Inv = RM 800 mil Public Inv = RM 200 mil Jobs = 5,000

Green City & Landscape Relocation of Wet Market & U Project TanjungDumpil Resort & Gondola at Inobong Redevelop as High End Residence at Substation, u Entertainment Center

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GNI = 0 GNI = RM 30 mil GNI = RM 48mil Private Inv = 0 Private Inv = RM 600 mil Private Inv = RM 203 mil GNI = RM 500 mil Public Inv = RM 144 mil Public Inv = N.A Public Inv = 19.8mil Private Inv = RM 100 mil Jobs = 1500 Jobs = 1000 Jobs =538 Public Inv = RM 30mil Jobs = 700 MEASURES TO DRIVE INVESTMENTS IN SDC

• General Incentives: Projects in the key promoted sectors of SDC relating to manufacturing and manufacturing related services fall within the purview of MIDA. (see www.mida.gov.my); • Special Incentives Package and Customised incentives within designated Strategic Development Areas/Clusters are also available to companies undertaking projects in the Sabah Development Corridor (case-by-case basis). Applications should be submitted to SEDIA; • Participation in Entry Point Projects under the Economic Transformation Programme; • Participation in Public-Partnership Programme; • Supporting the creation of Bumiputera Entrepreneurship through TERAJU@SDC; • Supporting Bio-Economy Agenda, with MOSTI and BiotechCorp - Bio-Nexus Status for Biotech-related Industries; • Supporting SMEs and Start-ups through Incubator and Accelerator Programme • National Talent Enhancement Programme with PEMANDU A SUMMARY OF INVESTMENT OPPORTUNITIES IN SDC . KKIP: BIMP-EAGA Northeast Asia Silk Road: Logistics, cold chain facilities, resource-based (wood and rubber-based) and supporting industries; . Sandakan Education Hub: Education – Science and vocational training; . Kinabalu Harbourfront and Kinabalu Gold Coast – Tourism, Real Estate/Wellness/Marinas/Creative Industry; . POIC: Palm oil-based products, bio-mass, bio-refinery complex, green technology/energy; . Sabah Agro-Industrial Precinct: Food production/processing - food ingredients, food supplements, herbal products, agro-biotech, cosmeceuticals, specialty natural products; . SOGIP: Oil and Gas, and Petroleum Products; Bio-Plastics/Composite Material and Products; Chemicals and Chemical Products; . Intergrated Livestock Centre: Livestock, meat and dairy products; . Integrated Marine Cluster: Seeweed, lobster, caged fish, prawn farming. Location Flagship and Qualifying Activities Tax Incentives

A. Tourism Project A. Tourism Project • Hotel  Full tax exemption on statutory income for 10 years; or Investment Tax Allowance of 100% on qualifying capital • Resort expenditure for 5 years - can be offset against 100% of statutory income.

 Exemption on import duty and sales tax subject to current policy; and

 Stamp duty exemption on land acquired for development. KINABALU GOLD B. Creative Cluster B. Creative Cluster COAST ENCLAVE  Design Academy  Full tax exemption on statutory income for 5 years; or (KGCE) - Product design Investment Tax Allowance of 100% on qualifying capital - Fashion/accessories design expenditure for 5 years - can be offset against 100% of - KOTA KINABALU statutory income; and  Academy of Art - Arts and crafts  Full exemption on import duty and sales tax exemption subject - Drawing to current policy. - Sculpture

 School of Arts - Dance - Drama - Music SABAH ECONOMIC DEVELOPMENT AND INVESTMENT AUTHORITY (SEDIA) Location Flagship and Qualifying Activities Tax Incentives

Production of Halal Food A. Projects located within the Halal Hub Investment • Tax Allowance of 100% for 10 years - can be offset 100% •Downstream Activities against statutory income. Processing of agricultural produce for: - Pharmaceuticals or biopharmaceuticals - Biodiagnostics - Food or feed supplements - Horticultural products SABAH AGRO- - Nutraceuticals B. Projects located outside the Halal Hub INDUSTRIAL - Microbials & probiotics PRECINCT (SAIP) • Investment Tax Allowance of 100% for 10 years – can be offset 100% against statutory income. • Exemption on import duty and sales tax, subject to current - KIMANIS, PAPAR •Development & Production of: policy; - Cell/ tissue cultures • Qualifying products/ activities will be determined - Biopolymers - Biomaterials - Biotechnology process of waste treatment

SABAH ECONOMIC DEVELOPMENT AND INVESTMENT AUTHORITY (SEDIA) Location Flagship and Qualifying Activities Tax Incentives

Downstream Activities • Manufacturing of cattle feed • Manufacturing of dairy-based products Full tax exemption on statutory income for 10 years; or INTEGRATED • Manufacturing of meat-based Investment Tax Allowance of 100% on qualifying capital LIVESTOCK VALLEY expenditure for 5 years - can be offset against 100% of products - KENINGAU statutory income, subject to qualifying activities/ products under the Promotion of Investment Act 1986.

Downstream Activities - Manufacturing • Oleochemical • Biofuel • Transfree Food Products • Full tax exemption on statutory income for 10 years; or PALM OIL INDUSTRY Investment Tax Allowance of 100% on qualifying capital CLUSTER (POIC) expenditure for 5 years - can be offset against 100% of statutory income, subject to qualifying activities/ products - LAHAD DATU under the Promotion of Investment Act 1986.

SABAH ECONOMIC DEVELOPMENT AND INVESTMENT AUTHORITY (SEDIA) Location Flagship and Qualifying Activities Tax Incentives

• Private Universities • Private Colleges • Full tax exemption on statutory income for 10 years; or • Training Centres Investment Tax Allowance of 100% on qualifying capital SANDAKAN • Skill Training Centres expenditure for 5 years - can be offset against 100% of EDUCATION HUB statutory income. - SANDAKAN • Exemption on import duty and sales tax exemption on equipments and machineries used, subject to current policy.

Downstream Activities: •Production of aquaculture products • Full tax exemption on statutory income for 10 years; or •Seafood Investment Tax Allowance of 100% on qualifying capital MARINE INTEGRATED •Fresh and dried export expenditure for 5 years - can be offset against 100% of CLUSTER (MIC) •Cosmetics material statutory income. •Pharmaceutical products - • Exemption on import duty and sales tax exemption on equipments and machineries used, subject to current policy.

SABAH ECONOMIC DEVELOPMENT AND INVESTMENT AUTHORITY (SEDIA) Location Flagship and Qualifying Activities Tax Incentives

•Downstream Activities – • Full tax exemption on statutory income for 10 years; or Manufacturing Investment Tax Allowance of 100% on qualifying capital expenditure for 5 years - can be offset against 100% of Medium & Heavy Industries statutory income, subject to qualifying activities/ products - Urea and ammonia production under the Promotion of Investment Act 1986. SABAH OIL & GAS - Solar glass INDUTRIAL PARK - Ship building and repairs • For ship building and repairs industry, incentives are offered (SOGIP) - Marine supply base and fabrication yard under Income Tax Act 1967 as follows: - - Iron ore palletising - Hot briquette iron • Full tax exemption on statutory income for 5 years; or - Combined cycle power plant • Investment Tax Allowance of 100% on qualifying capital expenditure for 5 years - can be offset against 100% of statutory income.

SABAH ECONOMIC DEVELOPMENT AND INVESTMENT AUTHORITY (SEDIA) INVESTMENT PERFORMANCE IN SDC: 2008-2016 CUMULATIVE COMMITTED AND REALISED INVESTMENT IN SDC FROM 2008-2015

COMMITTED INVESTMENT BY SECTOR AS AT SEPTEMBER 2015 MAJOR PRIVATE-SECTOR LED PROJECTS COMPLETED IN SDC

Sabah Oil and Gas Terminal 300 MW Kimanis Power Plant (KPP)

Sabah Ammonia Urea Plant (SAMUR) Kota Kinabalu City Waterfront (KKCW) “Oceanus”

Tanjung Aru-Sembulan-KK-Tg Lipat Cycleway and Walkway Gleneagles Kota Kinabalu Hospital

Jesselton Waterfront Incubator Facilities Business Pitching programme Ming Garden

Gaya Island Resort by YTL THE CITY OF KOTA KINABALU

• Kota Kinabalu had been voted as one of the best resort destinations in 2015, on par with Bali and Phuket, by tour and travel publication, CEI Asia.

• Kota Kinabalu had also been ranked as among the top 6 preferred locations in the world for retirement and liveability, in the Live and Invest Overseas Annual Retire Overseas Index 2016, by the Live and Invest Overseas Publication. “The Sabah region in which Kota Kinabalu is located has historically low crime rates. Other than the usual crimes of opportunity, such as pickpocketing, Kota Kinabalu is very safe. Public drunkenness is outlawed in Malaysia, which reduces levels of petty crime and vandalism.”- Live and Invest Overseas.

2016 Annual Retire Overseas Index – Rankings:

Photo credit: Sutera Harbour Resort, Kota Kinabalu (facebook.com/suteraharbour) 10 Best Places to Live Overseas in 2017 1) Carvoeiro, Algarve, Portugal 2) El Poblado, Columbia 3) Las Terrenas, Dominican Republic 4) Santa Familia, Berlize 5) Pau, France 6) Playa del Carmen, Mexico 7) Barcelona, Spain 8) Granada, Nicaragua 9) Kota Kinabalu, Sabah 10) Paris, France

“This laid-back and quiet city is one of the most pleasant places to live and is incredibly welcoming. Its biggest practical advantages are the low cost of living and the high standard (and low cost) of health care. A couple could live well here on US$1,200 a month or less.” (Live and Invest Overseas, 18th December 2016) GOING FORWARD

• During the Tenth Plan, the economy sustained growth across all sectors supported by strong domestic demand and sound economic fundamentals. Policy shifts were undertaken to increase competitiveness including further liberalisation of the services sector, increasing the ease of doing business, enhancing the innovation ecosystem, and strengthening SMEs. • The Eleventh Plan emphasises on re-engineering economic growth to enhance socio- economic development. The continued focus on knowledge-intensive sectors and high value-added activities will allow Malaysia to further capture growth opportunities and attract quality investments. • Economic growth will be supported by increased investment, improved productivity, a robust regulatory framework, and a larger pool of high-skilled talent. SME development and innovation will spur further development and increase inclusiveness across the various segments of society. • Competitive cities and regional economic corridors will be the catalysts for growth, creating vibrant hubs for investment as well as developing talent and knowledge. SDC AND REGIONAL ECONOMIC CORRIDORS UNDER THE ELEVENTH MALAYSIA PLAN To spur economic growth to address inter- and intra-regional imbalances and inclusivity.

To continue developing economic clusters based on sectoral and geographic advantages to benefit from economies of scale; and enhance the quality of life of local communities.

To accelerate investments in regional economic corridors: Strengthen investment delivery mechanism Facilitate investors in obtaining approvals from multiple agencies, Resolve implementation challenges Encourage re-investment. Improve connectivity and mobility Intensify research, development and commercialization. Introduce measures to enhancing entrepreneurship, talent and skills.

Promote investment in the rural areas;

Transform Kota Kinabalu into a competitive city, providing the necessary higher- order services, such as global connectivity via internet, land, sea and air linkages

To improve infrastructure and review regional economic corridors masterplans in order to realize investment of RM236 billion and create 470,000 jobs by 2020. . LOGISTICS CONCERN

Logistics – the Critical Factor affecting Sabah Economic Development • High logistics and operating costs in Sabah • Lack of basic land transport infrastructure, such as paved roads ,bridges & Railway to connect with ports • Poor road conditions contributing to high fuel consumption and high operating costs.

79 … needs to Enhance Global Connectivity & the Integration of Land, Sea & Air Freight Logistic + to Improve Internet Speed & Coverage No International Port for Direct Shipment No Highway / Rail Connectivity to Major Sapangar Bay Cities, Towns & Industrial Estates Transshipment Hub Pan Highway +

Sapangar Bay Kota Kinabalu Railway Container Peninsular Malaysia Port Sandakan Sabah Port Kimanis Klang Sabah Sipidang Sarawak Legend Lahad Datu Direct-Calls Feeder Shipment No International Air Freight Logistic Hub Slow Internet Speed Sabah Aviation & Labuan-Brunei 200 Mbs Logistic Hub CTS Link

Kota

Kinabalu CASEFORCHANGE Int. Airport Sabah KLIA Sabah ~2 Mbs

Sarawak Legend Direct Flight Feeder Flight Lack of Efficient Infrastructure for International & Inland Connectivity remains the Critical Factor for Foreign Investment & Economic Development in Sabah (EU & China Consulates’ Comments) 80 ENHANCING GLOBAL CONNECTIVITY

• During the RMK-11, SEDIA will be working towards enhancing Sabah’s global competitiveness by improving the state’s global connectivity and upgrading human capital and entrepreneurship. • KKIA is now handling about 6.5 million per year, and expected to reach its capacity of 9 million passenger in about five years. With the current rapid increase in tourist arrivals through both scheduled and chartered flights, KKIA may reach its capacity over the next 3 and a half years. • SEDIA will carryout a Masterplan Study for Aviation Hub and Air Freights Logistics, commencing this year. • The Federal Government had also approved development allocations to upgrade Sapangar Bay Container Terminal into a major Transhipment Hub. SDC 11MP DIRECTION & STRATEGY Focusing on the Expansion of SDC 10MP Programmes by Driving the Keys Focus Areas while Focusing on the Enhancement of Global Connectivity & the Efficiency of Logistic Services Key Strategy Key Focus Areas • Increase high yield, long stay tourists Tourism • High end development (resorts, residences, etc)  Expansion in Positioning Sabah as a Leading • Focus on aquaculture sector (shrimp, seaweed, sea Economic Region in Asia as an Attractive Agriculture Destination for Foreign Direct Investment cucumber, cage fishing) • Value add from food processing, packaging & Biotech with Strong Supporting Infrastructure and a Ready Pool of Knowledge Workers. Palm Oil • Promote high value add downstream activities

 Continue to Drive Key Focus Areas OGE • Complete the OGE value chain with downstream activities (petrochemical, transmission, etc)  To Improve Global Competiveness via Manufacturing • Further grow manufacturing sector  Enhancing International Connectivity • Enhance Intercity & Global Connectivity  Integration of Land, Sea & Air Logistic Logistic Services • Increasing mixed development (commercial and Livability residential) to promote people to live and spend in  Improvement of broadband Internet KK Services • To improve accessibility on public transportation services and infrastructure for locals and tourists  Enhancing the Quality of Human capital • Enhance entrepreneurship and skills to support the Education  Enhancing Knowledge Intensive & High emerging industries (hospitality & tourism, OGE, Technology Industries manufacturing, Agriculture, etc  Effective Government Delivery Service Services Sector Agriculture Sector Manufacturing Sector 82 Game Changer - Direct International Connectivity REGIONAL TRANSSHIPMENT HUB FOR EAST ASEAN

83 Logistic Enhancing Global Connectivity to and from International Market Strategy To improve Global Competitiveness by providing strong supporting infrastructure and connectivity to and from international market. Target Activities  Position Sapangar Bay Container Port (SBCP) a Logistic Transshipment Hub and value add for cargo between Kalimantan–South Philippines (ASEAN) and North Asia (China, Japan, Korea). Integration of KKIP as Free Economic Zone with the Sapangar Bay Trans-shipment Hub.

 Position Sandakan, Lahad Datu and Tawau as Regional Trading Hubs in Borneo and BIMP-EAGA by expanding the role of Sandakan, Lahad Datu and Tawau Ports to leverage on AEC. These ports will also serve as feeder ports to SBCP.

 Position Kota Kinabalu Airport as International Air Cargo/Freight Transhipment Hub.

 Improve Infrastructure for road & rail connectivity from Sipitang to Sapangar Bay supporting the Oil & Gas Industries, and subsequently for all major cities, towns & Industrial Estates in Sabah.

84 PAN-BORNEO HIGHWAY TO STIMULATE ECONOMIC ACTIVITIES IN SDC

THE PROPOSED TPP COUNTRIES ASEAN, FTAs AND RCEP THE REGIONAL COMPREHENSIVE ECONOMIC PARTNERSHIP

The Regional Comprehensive Economic Partnership (RCEP) launched at ASEAN Summit in November 2012 is a proposed Free Trade Area (FTA) among the ten ASEAN nations and the six nations having FTA with ASEAN, viz Australia, China, India, Japan, South Korea and New Zealand. The RCEP members have a total US21.4 trillion, accounting for about 30 percent of global GDP, with a combined population of 3.4 billion people

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