KUCHING - Ms Hazel Tang’s cosy cafe in one of Kuching’s heritage shophouses is a far cry from the Michelin-starred Burnt Ends she used to work at in Singapore, but the 30-year-old Sarawak native is at home here.

“I wanted to create a space in which my local staff can feel proud of what we, as Sarawakians, can create and provide for our customers,” the chef-owner of Dine with Fed told The Straits Times.

Part of what drew her back in November 2019 was Kuching’s rejuvenation, from spruced-up traditional shophouses in the historical area to the Darul Hana pedestrian bridge that connects both sides of the Sarawak river.

Returning to her roots, after spending nearly eight years in Singapore, was another reason.

“The dream of most culinary graduates is to travel and work in the best restaurants in the world, which some of my friends are doing. But for me, the driving factor of setting up my cafe in Sarawak was having a strong support system from family and friends,” she said.

Ms Tang is among those who have returned to the East Malaysian state in the last few years.

Driven back initially due to the Covid-19 pandemic and the urge to be close to family, these skilled workers are now staying and contributing to the local economy, which is expected to see a boost from state spending.

Not only has Malaysia’s federal government allocated RM5.6 billion (S$1.63 billion) in 2023 to the development of Sarawak’s infrastructure such as roads and power supply, but the state government will also dig into its growing coffers to fuel a post-pandemic recovery plan.

In the first quarter of 2023, Sarawak recorded an income of more than RM5 billion, which is projected to swell to more than RM11 billion by the year end.

Based on 2022 figures, more than 70 per cent of state revenue is derived from the oil and gas sector in the form of sales tax, royalties and dividends from strategic investments. 

But the state is looking to transition into green energy, by exploring new sources such as solar, hydropower and bioenergy. For instance, there are plans to scale up the cultivation of microalgae to 405ha to produce about 500,000 tonnes annually of crude algae oil, a fossil fuel alternative.

Two years ago, the Sarawak government unveiled its Post-Covid-19 Development Strategy 2030 to achieve economic prosperity, social inclusion and environmental sustainability by 2030.

Estimated to cost the state government RM63 billion from 2021 to 2030, the plan focuses on six key sectors to accelerate economic growth, namely tourism, commercial agriculture, manufacturing, forestry, mining and social services.

In July, Sarawak Premier Abang Johari Openg said the state was on track to becoming a developed economy by 2030, and that it was already a high-income state as classified by the World Bank, with a gross income per capita above US$13,205 (S$18,024).

These efforts could help stem the exodus of young Sarawakians, who leave for jobs in Malaysia’s capital Kuala Lumpur or in neighbouring Singapore due to a shortage of employment opportunities at home.

“The Sarawak government’s various efforts are expected to attract its people to come back and work in the state,” said Mr Halmie Azrie Abdul Halim, a senior analyst at government regulatory affairs and political risk consultancy Vriens and Partners.

He highlighted how the state government’s efforts in areas such as digitalisation, hydrogen energy and tourism appeal to returning younger graduates.

Ms Elaine Sim, who ran her own company in Kuala Lumpur for three years before her return, received a RM150,000 start-up grant from the Sarawak government’s digital economy agency to set up her job recruitment firm Migratesafe in 2023.

She said her business in Kuching is doing well as it offers a valuable service in an underserved market.

“It is hard to find good and professional services in Sarawak. There are not enough operators and the market is too small.”

Sarawak’s tourism industry is also returning to pre-pandemic levels and is expected to reach the target of attracting three million visitors by the end of 2023.

To beef up Kuching’s attractions, the state has spent RM325 million on its much-lauded Borneo Cultures Museum, which was built in consultation with experts from Singapore and completed in March 2022.

Mr Kenson Kwok, founding director of the Republic’s Asian Civilisations Museum and Peranakan Museum, advised the management on exhibits in the new attraction.

The museum, which showcases interactive displays of art and a collection of digital installations, links Sarawak’s cultural past to its future aspirations.

Said Ms Lunnie Gan, who studied at The University of Melbourne and worked in Australia for 2½ years as a digital marketer: “Our museum in Sarawak is on a par with museums in Melbourne, both in terms of its cultural importance and the amazing exhibitions it offers.

“We, Sarawakians, are really proud that it has an international-level vibe.”

The 27-year-old returned to Kuching in 2019 and is excited by the surge in entrepreneurial opportunities in Sarawak.

“The younger generation’s open-mindedness, state support for local start-ups and strong family values make it an attractive choice,” she added.