Deputy minister says Labuan must leverage its financial, oil and gas, and maritime strengths to build a distinct economic identity, not copy other regions.
LABUAN: The island must create and strengthen its own identity to be recognised as a unique economic destination, rather than mirroring other regions’ development models.
Deputy Minister in the Prime Minister’s Department (Federal Territories) Datuk Lo Su Fui said Labuan has strategic advantages in international financial services, oil and gas, and maritime sectors.
“Labuan should not try to be everything at once,” he said at a dinner hosted by the Labuan Chinese Chamber of Commerce.
He stated the focus should be on refining these niche areas to position Labuan more distinctly on the global economic map.
Lo said Labuan Corporation will focus on accelerating digitalisation and AI adoption to improve service efficiency and ease of doing business.
This move aligns with the federal government’s push towards a digital government ecosystem to reduce bureaucracy.
“Digitalisation and AI are no longer optional. They are critical enablers for Labuan to remain competitive,” he added.
Improved connectivity remains a key factor for Labuan’s long-term development, according to Lo.
He reiterated that the proposal for a bridge linking Labuan to the mainland should be considered under the Pan Borneo Highway project.
Such a connection would facilitate movement, reduce logistics costs, and stimulate broader economic activities.
“Connectivity is a game changer,” Lo said, noting it would enhance integration with Sabah and the wider Borneo economic corridor.
The federal government remains committed to addressing Labuan’s development challenges like infrastructure gaps.
Lo emphasised ensuring growth initiatives are sustainable and inclusive for the island.
Close cooperation between federal agencies, local authorities, and the private sector is crucial.
This collaboration is needed to realise Labuan’s aspiration of becoming a resilient economic hub within Malaysia and the BIMP-EAGA region.
