GEORGE TOWN, May 11 (Bernama) — A Penang assemblyman today urged the state to seize opportunities arising from global geopolitical and economic uncertainties to strengthen its position as a regional investment, tourism and supply chain hub.
Wong Yuee Harng (PH-Pengkalan Kota) said conflicts in West Asia and shifts in the global geopolitical landscape have created opportunities for Penang to attract more international events, investments and global capital flows.
He said the Asia-Pacific region, including the Pearl of the Orient (Penang), is now in a strategic position as many international events are seeking new locations that are more geopolitically stable and secure.
“The business tourism sector and the meetings, incentives, conferences and exhibitions (MICE) industry are significant economic drivers for the state,” he said during the debate on the motion of thanks on the Governor’s address at the State Legislative Assembly sitting here today.
He also supported the proposal to establish a special international financial hub, saying the state has advantages in terms of strategic location, highly skilled workforce and a proven track record as a manufacturing and technology centre.
Meanwhile, Ong Ah Teong (PH-Batu Lanchang) reminded the state government not to take lightly the phenomenon of “involution” or excessive competition following the aggressive entry of foreign business chains, particularly from China, which he said could affect the local business ecosystem.
He said the influx of cheap products and intense price competition could place pressure on small and medium enterprises (SMEs), food and beverage traders as well as local hawkers.
Opposition leader Muhammad Fauzi Yusoff (PN-Sungai Dua), meanwhile, said Penang’s economy, which is largely driven by the manufacturing and services sectors, remains highly dependent on external markets, exports and investments by multinational companies.
He said based on the Penang Economic Outlook 2026 report by Penang Institute, the manufacturing sector contributed 46.1 per cent to the state’s Gross Domestic Product (GDP), while the services sector contributed 48.1 per cent.
“Penang needs a more balanced and sustainable domestic economic sector, including strengthening community tourism, eco-tourism and agro-tourism sectors, especially in Seberang Perai,” he said.
He added that tourism development is currently still concentrated in island areas such as George Town, Penang Hill and Batu Ferringhi, resulting in traffic congestion and overcrowding of tourists.
— BERNAMA