In his Budget 2026 speech today, Prime Minister Datuk Seri Anwar Ibrahim announced that the government will be developing a submarine communications cable system. The Malaysian Communications and Multimedia Commission (MCMC) will be responsible for this new project, dubbed the Madani Submarine Cable System (SALAM).
According to the Prime Minister, the project serves to improve digital connectivity between Peninsular Malaysia, Sabah, and Sarawak. As a critical component in global telecommunications, the undersea cable network should enhance internet speeds and stability in East Malaysia. The government will allocate RM2 billion to the cable network, which will span 3,190km.

More specifically, the network will run from Sedili in Johor to Kuching and Sibu in Sarawak, and continue to cover key areas in Sabah. This includes Tuaran, Kudat, Pulau Banggi, Sandakan, as well as Tawau. For now, no further details on this project have been disclosed. It is also uncertain when work on the network will begin. Moreover, the Prime Minister did not provide an estimate for when the project will be completed.
SALAM is one of the many initiatives intended to bridge the development gap between East and Peninsular Malaysia. Sabah and Sarawak are also set to receive RM600 million in special grants under Budget 2026.
(Source: RTM via YouTube)