Construction Hunter

2024 Budget Signals Full Completion of Sarawak Pan Borneo Highway Project by Next Year

Publish date: Wed, 18 Oct 2023, 09:40 PM

KUALA LUMPUR— Prime Minister Datuk Seri Anwar Ibrahim announced that the Sarawak Pan Borneo Highway Project is on track for full completion by next year. The announcement was part of the 2024 budget tabled in the Dewan Rakyat today.

The Prime Minister revealed that the tender process for 19 work packages related to the expansive 3,664km Pan Borneo Sabah Phase 1B project, carrying a price tag of RM15.7 billion, is set to conclude next month.

In addition, Datuk Seri Anwar Ibrahim said, "The Sarawak-Sabah Link Road (SSLR) Phase 2 project, spanning over 320km and estimated to cost nearly RM7.4 billion, is slated to kick off by year-end."

The government has also allocated RM931 million for the North-South Highway (PLUS) expansion project, which will widen the road from four to six lanes, extending from Sedenak to Simpang Renggam.

Investment Landscape: First Movers and Potential Winners

As East Malaysia's infrastructure projects ramp up, several companies are poised to reap the benefits. Sarawak Consolidated Industries Bhd (KLSE: SCIB) emerges as a notable first mover, especially with the appointment of Abang Abdillah, the son of Tan Sri Abang Jo, as its chairman.

As of the fourth quarter of FY23, SCIB's order book stood at RM275.0 million. Should any work packages from these significant infrastructure developments be awarded to the company, it could radically transform SCIB's investment landscape.

The infusion of these large-scale projects into the Malaysian economy not only accelerates infrastructural development but also presents lucrative opportunities for investors and companies involved in the sectors.