KUCHING: Development efforts are increasingly being anchored on stronger institutions and accountable governance, with State-owned enterprises (SOEs) identified as key drivers of progress.
Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg said SOEs are central to the development agenda, with agencies such as Sarawak Metro with the Kuching Urban Transportation System (KUTS), Yayasan Sarawak in education, Sarawak Energy Bhd (SEB) in renewable power, Sarawak Economic Development Corporation (SEDC) in economic growth, and Sarawak Water in resource management.
“SOEs must operate under the highest standards of professionalism, transparency, and accountability.
“We have seen cases elsewhere in Malaysia where governance failures led to financial losses and erosion of public trust. We are committed to a different path,” he said at the Memorandum of Agreement (MoA) signing between the World Bank and the Ministry of Finance (MOF) on Result-Based Budgeting and SOES Transformation at Riverside Majestic Hotel today.
Through its partnership with the World Bank, the State will roll out a comprehensive corporate governance transformation programme for SOEs.
Among the key reforms are the introduction of the State Ownership Policy, the first of its kind in Malaysia, which sets clear frameworks for the state as an accountable shareholder; the adoption of international best practices in areas such as board composition, financial transparency, and risk management; and the development of a digitally enabled performance measurement framework to track SOE performance against strategic, financial, and socio-economic goals.
“These reforms will create world-class SOEs that deliver value, inspire trust, and help secure the future. This engagement with the World Bank is not just technical cooperation, but a partnership for progress,” Abang Johari said.
He added that the State brings “bold vision and strong political will”, while the World Bank contributes “global expertise and credibility”, positioning the SOE reforms as a potential model for Malaysia and the wider region.
In addition, Abang Johari revealed plans to boost the capacity of the Sarawak Civil Service through an executive training programme in collaboration with top global institutions.
“We will send our middle management officers to the London School of Economics, Cambridge, Harvard, and other leading business schools to reinforce capability and capacity building.
“This programme will be ongoing, with officers sent every year to update their knowledge in the ever-changing economic landscape,” he said.
The Premier said these measures reflect Sarawak’s determination to strengthen institutions, and ensure that SOEs and the civil service are equipped to meet the State’s bold development goals.
