Kota Kinabalu: Sabah’s economy delivered a stronger performance in 2025, with gross domestic product (GDP) expanding 5.1 per cent, up from 1.2 per cent a year earlier, according to the Department of Statistics Malaysia (DOSM).
In a statement on Thursday, DOSM said Sabah’s GDP at current prices rose to RM88.8 billion from RM84.5 billion in 2024, an increase of RM4.3 billion.
It said Sabah’s performance was in line with Malaysia’s broader economic expansion, which grew 5.2 per cent in 2025, maintaining the same growth pace as the previous year.
“The services and mining and quarrying sectors remained the largest contributors to Sabah’s GDP, accounting for a combined 74.1 per cent, followed by agriculture at 13.9 per cent.
“Manufacturing and construction contributed 7.2 per cent and 4.4 per cent, respectively,” it said.
DOSM said the services sector, the state’s main economic driver, grew 4.5 per cent compared with 4.2 per cent in 2024, supported by tourism-related subsectors, including wholesale and retail trade, food and beverage, and accommodation, as well as government services.
The mining and quarrying sector, Sabah’s second-largest contributor, rebounded 4.9 per cent from a contraction of 4.9 per cent in 2024, driven by higher crude oil and condensate output as well as natural gas production.
The agriculture sector returned to growth at 0.9 per cent, compared with a 3.2 per cent decline a year earlier, underpinned by improved crop subsectors, particularly palm oil.
Manufacturing growth also strengthened to 5.0 per cent from 1.2 per cent in 2024, supported by higher output of oils and fats from vegetable and animal sources, as well as food processing activities.
Meanwhile, construction expanded 28.3 per cent, compared with 21.5 per cent in 2024, supported by broad-based growth across all subsectors, particularly civil engineering works.
In terms of GDP per capita, Sabah recorded an increase of RM550 to RM31,125, compared with RM30,575 a year earlier, although still well below the national level of RM59,167.
Overall, Sabah contributed 5.1 per cent to Malaysia’s economy, unchanged from the previous year, retaining its position as the country’s seventh-largest state economy.