Unlocking Sabah’s creative economy potential

In recognising the growing importance of creativity to economic development, the Sabah Government has formally placed the creative economy within the portfolio of the Ministry of Youth and Sports. The move reflects an understanding that creativity is no longer peripheral to economic development but is increasingly central to job creation, entrepreneurship and cultural sustainability, particularly for a young and diverse state such as Sabah.

The creative economy refers to economic activities that originate from individual creativity, cultural knowledge and intellectual capital. These include traditional crafts, visual and performing arts, film and media, animation and gaming, fashion, design, music, publishing, digital content creation, live events, pageantry and creative tourism. In Sabah, many of these activities already exist organically, often embedded within daily life and community practices. What is new is the intention to organise, support and scale them systematically so that creativity can translate into sustained economic value.

At the national level, Malaysia has begun to quantify the economic contribution of creativity. Recent estimates place the value of the national creative economy at approximately RM47 billion, making it a meaningful contributor to gross domestic product and employment. Earlier measurements had already shown the sector contributing close to two per cent of national GDP, with ambitions to grow this share further in the medium term. Within this broader ecosystem, the digital creative subsector, including animation, gaming and digital content production, has emerged as a growth engine. These activities generate billions of ringgit annually and have penetrated export markets, demonstrating that creative output can compete internationally when supported by coherent policy, infrastructure and talent development.

Against this national backdrop, Sabah presents a striking paradox. Despite its rich cultural heritage and prolific creative activity, Sabah captures only an estimated RM60 to RM75 million in economic value from the creative sector annually. This disparity is particularly striking given that Sabah hosts more than 4,000 creative and cultural events each year. By comparison, Penang, with roughly 2,000 events, generates about RM400 million while Sarawak, with approximately 1,500 events, records around RM200 million. The issue for Sabah is therefore not a lack of activity, talent or ideas but limited scale, coordination and economic capture.

This reality is ironic for a state often described as “the Land of Creative People.” Sabah has the talent and cultural ingredients but remains less effective at converting creative vibrancy into sustained economic impact. Much of this disconnect lies in the fact that creative activities are often informal, fragmented and poorly measured, making them economically invisible despite their prevalence.

One of the clearest manifestations of Sabah’s creative economy lies in its indigenous crafts. In Tambunan and Keningau, local weavers continue to produce kain dastar, tanjak and traditional textiles using motifs passed down through generations. These textiles have moved beyond ceremonial use. Designers now adapt them into contemporary apparel, scarves, handbags and corporate gifts. Some cooperatives sell through digital platforms such as Instagram and Shopee, receiving orders from Peninsular Malaysia and Singapore. That which was once purely cultural expression has gradually become a source of supplementary and, in some cases, primary income.

In Kota Belud and Pitas, Bajau and Rungus beadwork and basketry have similarly found new markets through tourism-linked retail outlets and craft fairs. Rungus pinakol bead necklaces are increasingly worn at Kaamatan celebrations and formal functions, creating seasonal but reliable demand. For many women outside the formal workforce, craft production has become an important supplementary source of income. Yet much of this economic activity remains informal and statistically invisible, reinforcing the gap between creative effort and recorded value.

Sabah’s performing arts further illustrate the way creativity sustains livelihoods. The Sumazau dance, often viewed solely as a cultural symbol, provides income for community troupes performing at hotels, official functions and festivals. Groups from Penampang and Papar receive regular bookings during Kaamatan, conferences and tourism events. Traditional musicians and cultural ensembles are also engaged for cruise ship arrivals, cultural villages such as Monsopiad and Mari Mari, and state celebrations. While individual payments may be modest, collectively these engagements support training, intergenerational knowledge transfer and cultural continuity. Events such as the Sabah Creative Economy Summit have played a role in professionalising creative practitioners by providing platforms for exposure, collaboration and networking.

Another often overlooked but economically significant component of Sabah’s creative economy is pageantry. International and regional pageants are not merely beauty competitions. They are complex creative productions involving fashion design, traditional costume making, choreography, stage performance, photography, videography, lighting, sound engineering, branding, digital marketing and live event management. Each pageant activates a value chain of creative professionals and service providers.

Sabah’s hosting of the King and Queen of the Pacific International Pageant illustrates this creative ecosystem clearly. As an international event, the pageant brings together contestants, trainers, designers, judges, media teams and supporters from multiple countries. Local designers collaborate with artisans to create national and ethnic costumes incorporating Kadazan Dusun, Bajau, Murut and Rungus motifs. Makeup artists, hairstylists, photographers, videographers and emcees all derive income from the event.

Beyond the stage, pageantry generates extensive digital content that circulates globally, promoting Sabah’s culture, locations and creative talent. Hotels, venues, transport providers and food outlets also benefit, placing pageantry firmly within the creative tourism ecosystem.

Sabah is also beginning to reposition itself as a creator of content rather than merely a filming location. Local filmmakers and documentary producers increasingly tell Sabah-centred stories exploring indigenous identity, environmental stewardship and social change. Locally made films such as Huminodun, which draw on indigenous mythology and cultural heritage, demonstrate the way Sabah narratives can be translated into compelling cinematic works rooted in place and tradition. These productions have been screened at film festivals, universities and online platforms, gaining recognition for their authenticity and cultural depth.

Meanwhile, digital creators on YouTube, TikTok and Instagram produce content on Sabah food, travel, dialects and humour, building substantial followings. Through advertising revenue, brand collaborations and tourism partnerships, some have transformed personal storytelling into viable micro enterprises, acting as informal cultural ambassadors for the state.

Sabah’s digital creative sector, though smaller than that of Penang or Kuala Lumpur, shows clear potential. Animation and graphic design studios in Kota Kinabalu service clients beyond Sabah, producing branding materials, explainer videos and social media content. Some Sabah-trained animators now work remotely for firms in Kuala Lumpur and Singapore, demonstrating that geography is no longer a barrier. Training institutions offering animation, multimedia and digital illustration courses have helped build this talent base. Graduates often freelance or form small studios, contributing to a decentralised creative economy that remains largely untapped in official statistics.

The tourism sector naturally complements the creative economy. In homestay villages, visitors increasingly participate in hands-on experiences such as traditional cooking, weaving demonstrations, bamboo music workshops and storytelling sessions. These activities generate income not only for homestay operators but also for artisans, elders and youth facilitators. Such experiences transform culture into value-added products while keeping economic benefits within local communities and extending visitor stays.

Youth participation provides the strongest justification for placing the creative economy under the youth portfolio. Many Sabah youths earn income as photographers, videographers, musicians, masters of ceremonies, fashion designers, makeup artists, decorators and social media managers. These services are integral to weddings, festivals, pageants and corporate events. Youth-led pop-up markets and creative conventions offer platforms for illustrators, designers and independent brands to test ideas and access customers. What these young creatives often lack is not talent, but structure, mentorship, access to capital and long-term market pathways.

The comparison with Penang and Sarawak highlights a critical difference: ecosystem governance. Penang has established Digital Penang and a Digital Economy Master Plan. Sarawak operates through the Sarawak Digital Economy Corporation and the Sarawak Creative Industry Committee. These institutions provide coordination, funding pathways and strategic direction. Sabah is beginning to move in this direction. The proposed establishment of a Creative Industry Council, the development of a Sabah Creative Industry Blueprint, and engagements by the Chief Minister’s Department with creative activists and content creators are timely steps. What will determine success is whether these efforts are aligned, sustained and empowered to translate creative energy into measurable economic outcomes.

Penang and Sarawak also benefit from global visibility through the UNESCO Creative Cities Network. Penang’s recognition as a historic city and Kuching’s status as a city of gastronomy enhance branding and tourism. Sabah may soon follow suit. Efforts are underway to secure UNESCO City of Literature recognition for Kota Kinabalu. The nomination has passed the initial screening stage, with a final decision expected by the end of 2025. Such recognition would elevate Sabah’s creative profile regionally and internationally.

Malaysia’s creative economy is already worth tens of billions of ringgit. Sabah, despite hosting thousands of creative activities annually, from village crafts and cultural performances to international pageants, captures only a fraction of this value. The issue is not creativity, but conversion. By embedding the creative economy within youth development, recognising overlooked sectors such as pageantry, strengthening coordination and improving measurement, Sabah has an opportunity to close this gap. If managed thoughtfully, the creative economy can become a genuine pillar of inclusive growth, generating income, preserving identity and empowering Sabah’s next generation to thrive while remaining rooted in their culture.

Footnote
Dr Richard A. Gontusan is a Human Resource Skills Training and Investment Consultant. His views expressed in this article are not necessarily the views of The Borneo Post.