Thirty-eight-year-old journalist Norman Goh was born and raised in Kuching, the capital of the Malaysian state of Sarawak. A nursing graduate from Universiti Malaysia Sarawak (UNIMAS), he now lives and works in Kuala Lumpur, where he moved to pursue better professional opportunities. Yet Sarawak remains close to his heart – and he keeps a keen eye on how the state has transformed in recent years.
“Sarawak’s population isn’t large, but if the state can run more efficiently, build its human capital and focus on targeted industries, it could draw in high-impact investments,” Goh said. “The key is transparency and good governance – that’s what builds investor confidence and creates quality jobs for Sarawakian youth.
With the right policies to encourage competitive salaries and clear career pathways, coupled with what he calls “one of the best qualities of life in Malaysia,” Sarawak could not only attract talent back but also retain it.
Good systems make good outcomes possible
What does better governance look like in everyday life? Faster permits, steady energy supply, quality education, accessible healthcare, well-maintained roads, and budgets that fund what works. These building blocks are the foundations of quality jobs. When businesses can start quickly, power stays on, and people are skilled and healthy, firms invest, productivity rises, and better‑paying jobs follow.
When strong governance is in place, prosperity can reach rural communities, lift families out of poverty, and open doors to new opportunities so every Sarawakian can share in the state’s rising fortunes.
Now that Sarawak has reached high-income status, it stands at a pivotal crossroads. The challenge ahead is not just to sustain growth, but to build effective systems that ensure inclusion, shared prosperity and the availability of good jobs that last for generations.
In March 2025, the World Bank Group, the Federal Government of Malaysia, and the State Government of Sarawak signed a landmark agreement to support Sarawak to modernize how it plans, budgets, and manages its State-Owned Enterprises (SOEs), while transforming public financial management across the state.
Laying the groundwork for better governance and smarter decisions
Under the agreement, the state will adopt a new SOE Ownership Policy, launch the Sarawak Corporate Governance Code for SOEs, and roll out a digital dashboard to enhance performance monitoring.
With strong SOE governance, public enterprises can operate transparently, efficiently, and in alignment with broader development goals. Additionally, they can reinvest profits into expanding their operations, upgrading infrastructure and developing new services.
The introduction of Result-Based Budgeting (RBB) from the 2025-2026 budget cycle is designed to see that every ringgit spent on education, healthcare, and infrastructure delivers lasting value. The RBB framework equips public servants with the tools to link resource allocation with results, sharpening fiscal discipline, and unlocking investment.
This allows public spending to go where it’s needed most, improving service delivery and accountability. By focusing on results, RBB makes public institutions more accountable and responsive to citizens’ needs.
The job creation agenda is central to Sarawak’s vision. As SOEs become more efficient and public spending is linked to clear priorities, the state can unlock new opportunities for private-sector led growth, and help Sarawak build a workforce ready for tomorrow’s challenges.
Global expertise, local impact
At the Agreement Exchange Ceremony in Kuching, Sarawak Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg spoke of the need to reform institutions and governance to realize Sarawak’s vision of becoming a fully developed state by 2030.
"A capable and effective government means that our SOEs must also operate under the highest standards of professionalism, transparency and accountability. Here in Sarawak, we are committed to a different path. We understand that strengthening corporate governance of our SOEs is not just important – it is an urgent priority," he said.
Sarawak’s reforms are part of a broader global movement. As highlighted by the World Bank Group Division Director for the Philippines, Malaysia, and Brunei Zafer Mustafaoğlu at the ceremony, SOEs are key players in economies worldwide, accounting for significant shares of investment, employment, and GDP. Yet, many countries still lack clear ownership policies and robust governance frameworks. Public financial management is equally critical, with government spending representing a major share of GDP and fiscal pressures mounting globally.
The partnership marks the beginning of a transformative journey—one that will demand consistent effort, sustained leadership, and broad-based support. As the state moves forward, the World Bank remains a committed partner, bringing international best practices and global expertise to support Sarawak’s ambitious development objectives. Sarawak’s reforms are building not just a stronger government, but a stronger future for every Sarawakian.
