Sarawak’s construction sector shows steady rise over past decade, leading national growth

Sarawak Legislative Assembly Complex (file photo)
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by DayakDaily Team

KUCHING, May 2: Sarawak’s construction sector has shown remarkable and steady growth from 2010 to 2022, positioning the State as one of Malaysia’s top performers in the industry, according the Department of Statistics Malaysia’s (DOSM) in its latest Malaysian Economic Statistics Review 2025 report.

From 2010 to 2022, Sarawak’s construction sector’s gross output more than doubled from RM6.6 billion in 2010 to RM17.6 billion in 2022, the report stated.

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Source: Economic Census 2023, DOSM

Fuelled by strategic infrastructure projects, rapid urbanisation, and strong government support, the sector’s rise reflects Sarawak’s broader stable economic momentum and its emergence as a key player in Malaysia’s development.

“Malaysia’s construction industry has played a pivotal role in the country’s development, contributing significantly to infrastructure expansion, economic growth, and job creation.

“However, the pace of construction growth has not been uniform across the country. States such as Selangor, Kuala Lumpur, Johor, Penang, and Sarawak have consistently led in construction output, driven by their stronger economies, rapid urbanisation, and government-backed development projects (Department of Statistics Malaysia, 2023).

“The growth trajectories in these states not only reflect economic strength but also underscore the potential of well-planned regional development in shaping vibrant, economically competitive areas,” the department said in its report.

Source: Economic Census 2023, DOSM

The report stated that Sarawak’s construction sector is mainly buoyed by infrastructure initiatives such as the Pan Borneo Highway, rural connectivity programmes, and energy projects, notably in hydroelectric power.

“Sarawak’s commitment to urbanisation and infrastructure development is reflected in its strategic investments aimed at improving connectivity, enhancing urban living, and stimulating economic growth.

“The State government has prioritised infrastructure projects as part of its long-term development plans, such as the Sarawak Corridor of Renewable Energy (SCORE), launched in 2008, which aims to boost industrial growth and energy production.

“The development of road networks, public transportation systems, and utilities like water and electricity has been crucial in supporting the State’s growing population and the demands of both rural and urban areas,” it said, referencing data from official Sarawak government websites.

Source: Department of Statistics Malaysia

In addition, it highlighted that the State has been actively transforming its urban landscape through large-scale residential and commercial projects, particularly in cities like Kuching and Miri.

“For instance, the development of smart cities and integrated transport systems aims to improve urban mobility and infrastructure efficiency.

“These projects align with the Malaysia Vision 2020 and the 12th Malaysia Plan (2021-2025), which focus on improving regional infrastructure to support economic diversification and urban development (Malaysia Ministry of Finance, 2021),” it said.

“By continuing to prioritise infrastructure, Sarawak is positioning itself for sustainable economic advancement while ensuring a better quality of life for its residents (Government of Sarawak, 2021).” – DayakDaily

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