KOTA KINABALU – Labuan is still in a state of economic infancy despite nearly four decades of federalisation with numerous commercial laws and financial policies formed to drive its international off-shore centre, said PBS president Datuk Seri Maximus Ongkili.
The Minister in the Prime Minister’s Department (Sabah and Sarawak Affairs) said the federal government must “recommit” to the development of Labuan as a regional economic and financial investment hub.
“Since the federalisation of Labuan in 1984, a lot of development has taken place, but it has not been sustainable either as an economic finance or regional commercial development centre for Sabah and Sarawak, in particular.
“So after 38 years, it has been a disappointing track record so far (for Labuan),” he said in a statement issued while officiating the annual general meeting of the party’s Labuan division yesterday.
He added that Putrajaya has achieved very little after promising to develop the island’s economy and transform it into a financial hub.
“More than 20 laws and corporate policies for the development of the regional financial centre (have been conceived), but very little has been achieved.
“Also, in terms of economic development, Labuan has been stagnant for the last five years.
“The promise of a bridge connecting Labuan and Sabah has been approved by the federal government, but until now, no development has taken place.
“The financial commitment for the project, to date, had not been achieved,” he said.
The Kota Marudu MP also said that the federal territory island still faces a water shortage problem and the issue is further compounded by the outdated water pipe system.
He said the situation has worsened as the oil and gas sector has not been performing in the last three years.
People living on this island have expressed their disappointment and are feeling that their welfare is taken for granted.
“Business operators and chambers are beginning to voice out their worries and grouses, stressing that Labuan’s economic centre will continue to be forgotten, unless the federal government takes drastic economic and policy intervention to overcome the problem,” he said.
Labuan is presently an opposition-held parliamentary constituency, and its MP is Rozman Isli of Warisan.
Its territory, which includes the main island and six smaller isles, was originally part of Sabah. However, the state ceded it in 1984 for it to become a federal territory. – The Vibes, March 22, 2022
