PENANG’S business events sector is positioning itself for growth as geopolitical tensions in the Middle East prompt international organisers to relocate conferences and exhibitions to more stable destinations, with the state emerging as a preferred alternative.
The Penang Convention and Exhibition Bureau (PCEB) said it has already received multiple enquiries from organisers seeking to move their meetings, incentives, conferences and exhibitions (MICE) from the Middle East to Penang in response to ongoing instability.
“They are cancelling it there (Middle East) and considering moving it to Penang,” said PCEB chief executive officer Ashwin Gunasekeran.
The potential influx of additional events is expected to build on an already strong pipeline, with Penang scheduled to host 26 international MICE events this year and next.
Speaking at a Business Events Associate luncheon at St Giles Wembley Hotel, Chief Minister Chow Kon Yeow highlighted the strategic importance of the business events segment in sustaining inbound tourism amid global uncertainty.
He acknowledged that international travel demand has been affected by the Iran conflict and rising living costs, but urged industry players to capitalise on opportunities within the business events sector.
Penang’s performance in 2025 underscores the sector’s economic value, with 3,391 business events hosted, attracting more than 450,000 delegates and generating over 800,000 hotel room nights.
The total economic impact from these events reached RM1.91 billion, reinforcing the sector’s role as a key driver of the state’s tourism economy.
Chow also pointed to efforts to strengthen the long-term sustainability of the industry through talent development, including a pilot initiative aimed at engaging students and young professionals in the MICE ecosystem via internships and industry exposure.
Separately, he said the state government would deliberate further on measures to ease cost-of-living pressures, including the possibility of encouraging civil servants to work from home.
On national sporting events, Chow noted that any decision on whether Selangor would host the Malaysian Games (SUKMA) rests with the state government, following a suggestion by the Sultan of Selangor to defer the event due to the broader economic impact of the Middle East conflict.
As global uncertainty continues to reshape travel and business patterns, Penang is seeking to leverage its stability and infrastructure to capture a larger share of the international business events market. - April 21, 2026
