Short Description: Sabah’s tourism revenue soars to RM8.74 billion in 2025. The state is now shifting focus to quality tourism to drive sustainable economic growth.
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Sabah Tourism Hits Record RM8.74 Billion, Pivots to Quality Over Quantity
The Malaysian state of Sabah has announced a landmark achievement for its tourism sector, with 2025 visitor arrivals generating a staggering RM8.74 billion in revenue. This financial surge, driven by 3.79 million visitors, underscores tourism’s critical role as a primary economic engine for the region. At the recent Sabah Tourism Awards 2026, State Minister Datuk Jafry Ariffin celebrated this success but outlined a strategic pivot. While aiming for four million arrivals in 2026, the government’s new focus is firmly on quality tourism. This approach seeks to enhance visitor spending and experience sustainability, ensuring long-term economic resilience over mere volume growth. This strategy directly supports national and state campaigns like Visit Malaysia 2026 and the upcoming Visit Sabah 2027.
Market Resilience and Strategic Expansion Drive Growth
A breakdown of the data reveals a robust and recovering market. Domestic travel, at 2.29 million arrivals, has recovered to 84% of pre-pandemic levels, showing strong local support. More significantly, international arrivals at 1.49 million have surged to 2% above pre-pandemic figures, indicating successful global outreach. Key growth markets included China, Singapore, and Australia. Infrastructure expansion has been pivotal; Sabah now connects to 15 international and 13 domestic destinations as of January 2026. Furthermore, cruise tourism is emerging as a lucrative niche, with 23 ships bringing over 24,600 passengers to ports like Kota Kinabalu and Sandakan, adding a high-value segment to the visitor portfolio.
Honoring Legacy and Innovating for a Sustainable Future
The industry’s strength is built on the dedication of its people. The Sabah Tourism Awards honored this, bestowing twelve Gold awards to innovators like the Borneo Rainforest Lodge and Mari Mari Cultural Village. Lifetime Achievement Awards were posthumously given to pioneers Datuk Irene Benggon Charuruks and Datuk Seri Tengku Dr. Zainal Adlin for their foundational contributions. These recognitions highlight that Sabah’s future in quality tourism relies not just on policy but on continuous tourism development by its stakeholders. By investing in high-value experiences and honoring its cultural and environmental assets, Sabah is positioning itself not just as a destination, but as a premium, sustainable investment opportunity within the Asia-Pacific travel economy.
Short Summary:
Sabah’s tourism sector achieved a record RM8.74 billion in revenue for 2025. Moving forward, the state is strategically shifting from volume to quality tourism, aiming to enhance sustainable economic returns. This focus, supported by strong international recovery and infrastructure growth, positions Sabah for continued success through initiatives like Visit Malaysia 2026 and Visit Sabah 2027.




