Enhancing Sabah’s Human Capital Development & Economic Complexity: Higher Education Strategic Role in the Economy

Abstract

Higher education plays important role for human capital development. In Malaysia, higher education institutions provide education services by offering courses at diploma, bachelor’s degree, masters and doctorate level, besides other important role such as its research and development activities. In Malaysia, there are many tertiary education institutions that provide services to the people and other stakeholders. In Malaysia, besides 20 public universities, there are more than 10 state owned universities, university colleges and colleges and many private higher learning institutions situated in different locations around the country. In Sabah, there are more than 20 higher learning institutions and TVET institutions.  Besides producing human capital, activities by those institutions make significant impact to the economy or at least benefit certain segment of the economy. It also play role in enhancing the economic complexity of a country. Overtime, the productive capabilities of a country ameliorates due to the knowledge and skills the gain through learning in higher education institutions. Consequently, types of products being produced and to be exported becomes more diversified. This study aims to study the result of further enhancing higher education institutions, its academic offering and other services by estimating the impact of increasing student enrolment by attracting students from outside Sabah on the economy. Besides, the study recommends to look into the possibility of attracting reputable universities to open a branch campus in Sabah as this can diversify the options for students. Moreover, the study recommends to look into the possibility of establishing higher education park in Sabah.