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Sarawak, federal government strengthen ties on SEZ development framework

Sarawak's state government is working closely with federal authorities to establish special economic zones as a model for regional economic transformation. The premier says multiple federal ministries and agencies will be involved in developing the Sibu SEZ initiative.

LSN Malaysia · 12 October 2026

Sarawak, federal government strengthen ties on SEZ development framework

Sarawak is deepening collaboration with the federal government to establish special economic zones (SEZ) as a blueprint for broader economic development across the region, according to the state's premier. The partnership will involve coordination between state and federal authorities to drive the transformation agenda forward.

The Sibu special economic zone has been identified as a flagship project under this coordinated framework. Multiple federal ministries and government agencies are expected to contribute expertise and resources to ensure the SEZ develops as an effective model for regional economic growth.

The premier emphasized that close cooperation between Sarawak and Kuala Lumpur remains central to realizing the SEZ's potential. By leveraging both state and federal capabilities, officials aim to create an integrated approach to economic zone development that can be replicated across Southeast Asia.

The initiative reflects broader efforts to strengthen Malaysia's economic competitiveness and attract investment to underutilized regions. Officials have indicated that success in Sibu could serve as a template for similar special economic zone projects in other parts of the country.