Kota Kinabalu (Feb 12) - The Indian government’s decision to set up a consulate in Kota Kinabalu has drawn varied responses across Sabah, with some viewing it as a major economic opportunity while others are raising concerns over its broader implications.
The National Consumer Foundation Malaysia (Sabah chapter) described the move as a strategic development that goes beyond diplomatic expansion. Its president, David Chan, said the establishment of the consulate could act as a catalyst for stronger trade relations and closer ties between Sabah and India. He noted that it has the potential to stimulate investment, promote industrial collaboration, boost tourism, and strengthen people-to-people connections.
Chan said the decision reflects the Prime Minister’s commitment to enhancing Sabah’s economic growth and expanding its international engagement. With India recognised as one of the fastest-growing major economies in the world, he pointed out that Sabah could benefit in areas such as manufacturing, industrial development, technology, the digital economy, renewable energy, agriculture, food security, tourism, and educational exchanges.
With the move receiving the support of Datuk Seri Anwar Ibrahim, the foundation believes the presence of an Indian Consulate in Kota Kinabalu would attract Indian investors, encourage joint ventures, expand industries, and create employment opportunities for Sabah youths. It could also simplify business procedures and trade documentation while positioning Sabah as a key economic gateway in Borneo.
Chan added that the initiative signals Sabah’s growing importance in Malaysia’s diplomatic and economic strategy, reflecting confidence in the state’s economic potential and strategic role within the Federation. He also described it as a meaningful step in strengthening Sabah’s global connectivity and economic resilience as Malaysia continues its post-independence development.
However, not all reactions have been positive. Warisan division leader Norazmi Alimat said he had heard concerns relating to security, employment prospects, and possible economic and social effects. He called on the federal government to clearly outline the scope, functions, and implications of the proposal to the state government and the public. He also suggested holding a public forum involving youths and Sabahans before any decision is finalised.
Expressing his personal view, Norazmi sought assurances that Sabah’s autonomy, immigration powers, and security would not be compromised by the move.
Online discussions have also reflected mixed sentiments. Some questioned why India plans to open a consulate in Sabah, suggesting that the Philippines might have a stronger case given the large number of Filipinos residing in the state. Others voiced worries about the possibility of increased immigration, noting Sabah’s existing demographic mix that includes legal and undocumented migrants as well as stateless individuals.
Indian Prime Minister Narendra Modi announced the plan to open the consulate in Kota Kinabalu during his official visit to Malaysia on Feb 7.
For Sabahans, the development could bring new economic prospects, foreign investment, and job opportunities if realised, but it has also highlighted ongoing sensitivities surrounding immigration, security, and the preservation of the state’s rights.