Securing Federal government approval for a SFZ in Penang requires full and undivided support from all Penangites, ranging from the state government to all Penang elected representatives, including the opposition. Penang Chief Minister Chow Kon Yeow was reported to have said that the state government has no information on the proposal to create a SFZ in Penang for the northern region, just like the one in Forest City, Johor.
My proposal of a SFZ for Penang in Parliament on 13 September 2023, is based on Penang possessing all the critical competitive and comparative advantages of an industrial state, which happens to be the nation’s largest exporter. Penang has achieved critical mass with a mature manufacturing industry base, which will drive development and boost the growth of our services sector, not only in the northern region but for the whole country as well.
The cost of doing business in a SFZ will be more affordable, with management costs not too high, such as for tourism, education and health. Incentives in a SFZ include a special income tax rate of 15 % for skilled workers and multiple entry visas for foreign expertise. A SFZ in Penang will help to boost investment, growth and economic activities and bring Penang to the next level of economic development.
There has been an overwhelming response from Penangites with both the Chinese Chamber of Commerce and Indian Chamber of Commerce coming fully on board to support a SFZ for Penang. Johor Menteri Besar Onn Hafiz Ghazi was both effusive and enthusiastic about a SFZ for Johor even likening the growth prospects of Johor Baru to flourish as another Shenzhen in China.
The success of securing a SFZ for Penang would hinge not only requiring similar support from the Penang state government but also undivided support from all Penang wakil rakyats, including the opposition. As Penang wakil rakyats, we must all put aside partisan politics and personal interests for the sake of a more sustainable and brighter future for Penang.