The Rise of Community-Based Tourism in Sabah: A Catalyst for Rural Economic Growth
Nestled in the heart of Borneo, Sabah has long been celebrated for its lush rainforests, vibrant cultures, and pristine beaches. Yet beyond its natural allure, the state has quietly nurtured a transformative economic force: Community-Based Tourism (CoBT). This grassroots approach to tourism has not only injected millions into rural economies but has also redefined how local communities engage with global visitors. From homestays in Kiulu to cultural tours in the highlands, CoBT is weaving a new narrative—one where economic growth and cultural preservation go hand in hand.
The Economic Impact of CoBT in Sabah
The numbers speak volumes. In 2024, CoBT initiatives across 18 districts generated RM7 million in revenue, up from RM6.7 million the previous year. This growth isn’t just a statistical blip; it’s a testament to the sector’s resilience and appeal. Take Kiulu, for instance, a rural district that has become synonymous with Sabah’s CoBT success. Here, villagers-turned-entrepreneurs offer everything from river rafting to traditional Dusun cooking classes, turning their heritage into a livelihood.
But CoBT’s impact extends beyond revenue. It’s a job creator. Sabah’s broader tourism sector—fueled in part by CoBT—supported 362,700 jobs in 2023, per the Sabah Regional Tourism Satellite Account. For rural communities, these opportunities are transformative. Young people no longer need to migrate to cities for work; instead, they’re guiding hikes, managing homestays, and selling handicrafts. As Chief Minister Datuk Seri Hajiji Noor notes, CoBT isn’t just about income—it’s about empowerment.
Sustainability and Authenticity: The CoBT Advantage
What sets CoBT apart from conventional tourism? *Sustainability* and *authenticity*. Unlike mass tourism, which often sidelines local voices, CoBT places communities at the helm. Villagers collaborate on tourism planning, ensuring activities align with cultural values and environmental limits. For example, the *Tagal* system—a traditional river conservation practice—has been integrated into eco-tourism, allowing visitors to fish while supporting resource preservation.
The demand for such experiences is soaring. Modern travelers crave connections, not just photo ops. Sabah’s homestays, where guests harvest rice or weave baskets with hosts, deliver exactly that. This authenticity has earned global recognition: three Sabah operators won the 2023-2025 ASEAN Tourism Standard Awards, cementing the state’s reputation as a leader in sustainable tourism.
Challenges and the Road Ahead
Despite its promise, CoBT faces hurdles. The pandemic exposed tourism’s fragility, with lockdowns wiping out incomes overnight. Recovery has been strong—Sabah welcomed 3.14 million tourists in 2024, surpassing targets—but risks remain. Climate change, infrastructure gaps, and uneven resource distribution threaten long-term growth.
Innovation is key. The Sabah Credit Corporation’s *Mobile Home Caravan* initiative, which converts vehicles into pop-up lodgings, is one creative solution. Meanwhile, the Sabah Homestay Association aims to boost revenues to RM10 million–RM20 million by 2025, leveraging digital marketing and partnerships. Media also plays a pivotal role; events like the Sabah Tourism Board Media Night 2025 highlight how storytelling can attract visitors and investors alike.
A Future Built on Collaboration
Sabah’s CoBT journey is far from over. Its success hinges on a delicate balance: scaling up without sacrificing sustainability, embracing technology while preserving tradition. Government support, community buy-in, and private-sector creativity must align—as they did in Kiulu—to replicate triumphs across the state.
The lesson is clear. Tourism isn’t just about places; it’s about people. When locals lead the way, economic growth follows—not as a trickle-down effect, but as a rising tide lifting all boats. For Sabah, CoBT isn’t merely a sector; it’s a blueprint for a more inclusive and resilient future. The ledger oracle’s crystal ball sees more than numbers here; it sees lives transformed, cultures thriving, and a state rewriting its destiny—one visitor, one village, at a time.
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