Labuan authorities urged to look into private-driven development to revive island's economy

12 March 2023

Oleh Wartawan Nabalu News

LABUAN: The senior aviation consultant of Labuan, Mohd Faizal Malik, has urged authorities to explore private-driven development to revive the island's stagnant economy.

According to Malik, the Federal Government has been reluctant to fund the effort, and as a result, creative solutions are necessary to spur the island's development.

Malik suggested that the Federal Government act as a facilitator by formulating investment-friendly policies to attract both domestic and foreign investors to develop the island into an international theme park cum entertainment hub.

He added that such a development would complement Labuan's current status as an international offshore center and duty-free island.

"If that materialises, Labuan can be the Macau of Southeast Asia or even Singapore's Sentosa Island," Malik said in a statement.

He also pointed out that through private-driven development, the island could be less dependent on Federal grants, as private domestic and foreign investors would develop Labuan to its fullest potential.

Furthermore, the island's strategic location would make it easy to attract tourists from China, South Korea, and neighboring countries.

Malik suggested that with a blueprint for Labuan's development, even the building of the illusive Labuan bridge could be a private-driven initiative, once the government provides the right policy to facilitate the proposal.

He cited the example of the road to the hilltop Genting Resort, which was built by its founder Lim Goh Tong in the 1960s.

The multiplier effect on the economy by having such development would revive Labuan's current stagnant economy and provide thousands of employment opportunities to the locals, as well as support the current declining local businesses.

Labuan authorities are urged to seriously consider private-driven development to revive the island's economy and spur its growth potential.