Penang set to become high-income economy

The state government in Penang is working towards making the state’s economy a high-income one. — Reuters pic

KUALA LUMPUR, Sept 10 — The Penang state government said it is prepared to heed the advice of the World Economic Forum (WEF) to become a high income economy, even as Malaysia continues to lose its competitiveness.

Penang Chief Minister Lim Guan Eng said Malaysia, too, needs to prepare itself to become knowledge-based, innovation-driven economy in order to maintain its competitive edge.

He was referring to a recent report by WEF that Malaysia’s global competitiveness ranking has dropped from 21 to 24.

“The Penang state government is adopting this advice by taking steps towards a high-income economy based on innovation, creativity and high value shifting our reliance based on low-cost labour to high technology and modern services sector dependent upon highly-paid and skilled workers,” Lim told Singapore investors at the launching of the Penang showcase in the republic, yesterday.

He added that a 200-acre Education Hub in Balik Pulau and the soon to be expanded Penang Skills Development Centre (PSDC), will serve as an incubator to develop knowledge, skills and human capital.

Lim said the state government is also committed to creating an efficient civil service and to ensure respect for the rule of law.

“Despite our lack of natural resources, I believe in the energy, expertise and entrepreneurship in the people of Penang to make this vision of an international city possible,” said Lim.

“We offer Singapore investors a unique choice to participate in Penang's effort of wealth creation based on opportunities for growth, social equity by economic expansion and social inclusiveness by treating people not as shades of colours but as human beings,” he added.