KOTA KINABALU: The State Government has proposed to establish sea linkage  between Kudat and Palawan, Philipines to revitalise Kudat's economy, said Chief  Minister Datuk Seri Panglima Haji Hajiji Haji Noor. 

He said the matter was discussed with Federal Transport Minister, Anthony Loke who  later toured Kudat with Kudat MP Datuk Verdon Bahanda. 

"By establishing ferry services, barter trading at Kudat could be revived," he said at the  Chief Minister's Department post-cabinet meeting at Menara Kinabalu here today. 

The barter trade would help to revive Kudat's sluggish economy, said Hajiji, adding that  the opening of Kudat port may also be a berthing point for ships sailing from southern  Mindanao to Labuan. 

"Presently, sea vessels carrying goods from Southern Mindanao go directly Labuan. If  we open up the Kudat port, we could tap into the Southern Mindanao-Labuan shipping  route," he said. 

According to him, the Kudat Port would have all the necessary facilities, especially the  Customs, Immigration, Quarantine and Security checkpoints. 

The Chief Minister said he has also discussed the matter with State Police  Commissioner to look into the security aspect for deliberations at the State Security  Council. 

Meanwhile, Hajiji said all State Government officers must fully understand the meaning  of the "Sabah First" policy. 

"Sabah First means we must prioritise Sabah’s interests in all our endeavours. Foreign  and non-Sabah investors looking to set up business ventures here must have local  Sabah interest holding a 30 percent stake in the venture,” he said.  

Hajiji said the State Cabinet has also approved Kota Kinabalu City Hall’s revised  Sembulan Urban Renewal Scheme. 

"We have agreed to allow land owners to stay there once the development is completed  with agreed monetary compensation," he said.

The Chief Minister also announced that Sabah will host this year's Malaysia Day  celebrations on Sept 16. 

State Tourism, Culture and Environment Minister Datuk Christina Liew will co-chair the  organising committee with Federal Minister of Communications, Fahmi Fadzil. 

Ends