Gurney Bay and Andaman Island considered for Penang’s Special Financial Zone
Penang government is carefully evaluating the establishment of a Special Financial Zone (SFZ), recognising its potential as a transformative economic driver. Chief Minister Chow Kon Yeow revealed that the Penang Institute (PI) is leading the study into the proposal.
During a winding-up speech at the Penang Legislative Assembly, Chow highlighted the findings from a public engagement workshop held on September 24. Over 100 participants from the logistics, trade, and financial sectors attended, with more than 93% expressing support for the SFZ initiative.
Key benefits identified included job creation for young graduates, increased foreign investment, and enhanced support for advanced manufacturing. Participants also recommended focusing on financial subsectors such as fintech, startup financing, equity crowdfunding, maritime trade, and cryptocurrency finance.
Potential sites for the SFZ include Gurney Bay and Andaman Island. However, concerns were raised regarding challenges such as traffic congestion, talent shortages, and low wages, which could hinder the project’s success.
A roundtable discussion with industry experts on November 27 aimed to refine the framework for the SFZ. Further research findings will be presented to the state executive council for consideration.
This initiative underscores Penang’s commitment to maintaining its position as a regional business hub in Southeast Asia while addressing economic and infrastructure challenges.
