Ensuring the Effectiveness of Sarawak’s Investments – Prudent Approval of Data Centers

(Kuching, 19th) The Sarawak government will adopt a more prudent and selective approach when approving investment projects for data center development, in order to ensure that the relevant industry can bring greater added value to the state’s economy.

Sarawak Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg stated that this measure aligns with the current trend of economic development driven by artificial intelligence (AI), semiconductors, and data technology, noting that these technologies are becoming the crucial foundations for future economic growth.

He said data will be the key to future development, and that Sarawak, by virtue of its abundant energy supply, has already become the first choice for many investors to build data centers.

“However, we will be very cautious, because data centers serve as global data warehouses, whose primary function is only to store data, and they do not generate many job opportunities.

“Therefore, we must be prudent about approving the development of data center projects.” He made these remarks in his speech at the 20th Nanyang University Global Alumni Reunion Dinner 2026, held last night at the Imperial Hotel Kuching.

Abang Johari observed that in the next 5 to 10 years, with the rapid development of new technologies, the importance of data centers may not be as significant as it is today.

“By then, artificial intelligence and more advanced grid technology will continue to emerge. At present, we already have new-generation semiconductors that can store data more efficiently,” he said.

He emphasized that Sarawak must develop highly skilled talent to meet the demands of new technological development.

“The economy has already changed, so the education system must also adjust accordingly. Only then can we play a bigger role in the global economy,” he said.

On another note, Abang Johari also commended the organizing committee for successfully facilitating this global alumni reunion, bringing together Nanyang University alumni from different countries and different eras.

He stated that the committee’s dedication and efforts made it possible for the reunion to be held successfully, making it particularly meaningful.

“Tonight, the enthusiastic participation of alumni from both within the country and overseas fully demonstrates the deep bonds forged by education and shared experiences.

“Although it has been decades since everyone studied at Nanyang University, the spirit of unity still bridges generations and borders, and continues on to this day,” he said.