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Economy of Kuching


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expected to grow by 4.5% in 2011.

The construction sector growth is predicted at 6.5% in 2010, helped by the RM1.0 billion Special Federal Allocations and the construction of projects under the Ninth Malaysia Plan, including the new Sabah-Sarawak gas pipeline and the Murum hydro-electric dam. Construction for the Tenth Malaysia Plan is expected to expand this sector by 6% in 2011.

The mining and quarrying sector forecast is 3.2% growth in 2010 with increased production for natural gas, coal and silica sand in the first half of the year. The production of natural gas grew by 17.4% arising from increased demand from domestic petro-chemical industries and major importing countries. The sector is expected to grow at 3.0% in 2011.

The agriculture sector is expected to reach 5.2% growth in 2010 as a result of the rebound in commodity prices and improved global demand. The production of crude palm oil grew by 7.8% during the first half of 2010. In 2011, the agriculture sector is anticipated to grow more slowly at 4.3% as global demand is expected to soften during the year.

The services sector is expected to grow by 7.2% in 2010 with robust trading activities. For the first half of 2010, cargo-related activities at ports in Sarawak increased by 11.6% compared to the second half of the previous year. The air transport segment grew as passenger volumes for all principal airports state-wide rose by an average of 9.5% and the air cargo handled increased by 23.1% during the same period. Expected growth for this sector in 2011 is 6.4%
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