Borneo poised to emerge as ASEAN’s new economic power through strategic regional cooperation

Abang Johari addressing a press conference after delivering the keynote address at the Indonesia Economic Summit (IES) 2026 in Jakarta, Indonesia on Feb 3, 2026. Photo credit: Ukas
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By DayakDaily Team

KUCHING, Feb 3: The island of Borneo could emerge as a new economic force in ASEAN if strategic cooperation among its countries is strengthened, particularly in green energy, semiconductors, and the digital economy.

In a Sarawak Public Communication Unit (Ukas) news, Sarawak Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg said Borneo, which includes Indonesia’s Kalimantan, Malaysia’s Sarawak, and Brunei Darussalam, has the potential to collaborate under a unified framework that contributes to ASEAN’s development and strengthens ties with the global community.

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“During Malaysia’s tenure as ASEAN Chair, we identified the energy potential of Borneo, particularly Sarawak, to develop renewable or green energy.

“This energy is crucial amid current climate change challenges. We can work together to supply surplus energy to other ASEAN countries,” he told a press conference after delivering the keynote address at the Indonesia Economic Summit (IES) 2026 in Jakarta, Indonesia today.

The Premier highlighted Sarawak’s existing energy initiatives, including supplying electricity to West Kalimantan and holding a 25 per cent stake in a hydro project in North Kalimantan through Sarawak Energy.

Sarawak also provides 100 megawatts (MW) of electricity to Sabah, with plans to expand capacity.

“By the end of this year or early 2027, we will supply energy to Brunei, and eventually via undersea cables to Peninsular Malaysia and Singapore,” he added, noting these efforts could attract further foreign investment.

On regional cooperation, Abang Johari emphasised that government-to-government (G2G) frameworks between Sarawak and Kalimantan, alongside the BIMP-EAGA platform, will enhance cross-border economic collaboration.

He also shared Sarawak’s progress in next-generation semiconductors through SMD and its research centre in Cardiff, UK, including AI-powered chips currently awaiting intellectual property approval.
“These chips could be applied in healthcare, automotive, and aerospace sectors. Our universities are partnering with Istanbul Technical College in Turkey, and these collaborations open opportunities for cooperation with neighbouring countries in semiconductors,” he said.

Sarawak Secretary Datuk Amar Mohamad Abu Bakar Marzuki, Deputy Secretary (Economic Planning and Development) Dato Sri Dr Muhammad Abdullah Zaidel, and other senior State officials were present. — DayakDaily

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