Business · Companies · 2 days ago
Sarawak seeks greater control over federal land and assets
Sarawak, a large state on the island of Borneo, is seeking greater control over assets held by Malaysia’s federal government.
Many people there feel the state has fallen behind Peninsular Malaysia in development, despite its natural resources and oil and gas exports.
That sense of imbalance has helped drive a wider political push for Sarawak to reclaim what it believes it is owed.
One prominent example is Kuching’s 94-year-old General Post Office, which the state government wants to restore and repurpose.
The building is among 52 plots of land that Putrajaya agreed in 2023 to return to Sarawak, but the transfer was still pending in 2026.
Sarawak Premier Abang Johari Openg said renovation could proceed once discussions are complete.
The outcome will determine whether the state can take forward its plans for the building and other land.
Sarawak is seeking greater control over assets held by Malaysia’s federal government, including Kuching’s old General Post Office.
The 94-year-old building is among 52 plots that the federal government agreed in 2023 to return to Sarawak.
The transfer was still pending in 2026, leaving Sarawak unable to proceed with its plans to renovate the post office.
Sarawak Premier Abang Johari Openg says the state wants to restore and repurpose the landmark.
The push reflects wider grievances in Sarawak over development and the distribution of federal funding.
- Who
- The Sarawak state government, led by Premier Abang Johari Openg, is seeking control of the assets.
- What
- Sarawak wants the return of federal-held land, including Kuching’s old General Post Office, so it can restore and repurpose the building.
- When
- The federal government agreed in 2023 to return 52 plots; the transfer was still pending in 2026.
- Where
- Sarawak, including the state capital Kuching; the federal government is based in Putrajaya.
- Why
- Sarawak says the plots were held for federal projects that never materialised. The wider push is also driven by a sense that Sarawak has been left behind in development.
Sarawak state government
Malaysia’s federal government
Asset control
Sarawak state government
Sarawak wants the 52 plots returned so it can carry out projects, including renovating the old General Post Office.
Malaysia’s federal government
The federal government retains ownership of the post office; its reasons for the pending transfer are not stated.
Use of land
Sarawak state government
Sarawak argues that land reserved for federal projects should be handed over if those projects cannot be implemented.
Malaysia’s federal government
The federal government agreed in 2023 to return the plots, but the transfer remained pending in 2026.
Once we have completed the discussions, that building can be renovated.
if (the federal government) cannot implement the projects, give the authority to the Sarawak government to do it
I am quite upset that federal development budget distribution was heavily concentrated in the peninsula.
Abang Johari Openg had been arguing that the authority to carry out unimplemented federal projects should be given to the Sarawak government.
The federal government agreed to return 52 plots of land to Sarawak.
Abang Johari Openg said the old post office could be renovated once discussions were completed.
The transfer of the plots was still pending.
- Land plots
- 52 plots agreed for return in 2023
- Post office
- 94-year-old landmark in Kuching
- Transfer status
- Still pending in 2026
- Post office ownership
- Malaysia’s federal government
- State area
- 124,450 sq km










