Dr Zaliha: Labuan Has Potential To Become Regional Hub Following Success Of BFF 2025

PUTRAJAYA, Aug 14 (Bernama) -- Labuan has great potential to become a regional focal point for trade, tourism, culture and cross-border cooperation, driven by the successful organisation of the Borneo Flora Festival (BFF) 2025, which attracted over 120,000 visitors and generated economic returns exceeding RM35 million for the island's residents.

Minister in the Prime Minister's Department (Federal Territories) Datuk Seri Dr Zaliha Mustafa said the number of visitors far exceeded the initial target of 50,000 people, with visitors coming from all over the country and abroad, including the Philippines, Brunei, Indonesia, Timor Leste, China and India.

The five-day BFF held last month (July) also recorded 66,720 external visitors and 16,680 vehicles, in addition to 12,347 visitors arriving by speedboat and passenger ferry services.

This large-scale event provided significant economic benefits to the people of Labuan through nearly RM22 million in direct spending and a value-added multiplier effect exceeding RM35 million.

"In addition, it also encourages improvements to basic facilities such as roads, landscaping, public amenities and lighting," she said at the BFF 2025 Strategic Partners Appreciation Ceremony held here today.

The event was also attended by Federal Territories Department director-general Datuk Seri Noridah Abdul Rahim, National Unity Ministry secretary-general Datuk Haslina Abdul Hamid, Putrajaya Corporation president Datuk Fadlun Mak Ujud as well as representatives from government agencies, strategic partners and the media.

Commenting on Labuan’s future direction, Dr. Zaliha said that challenges such as limited accommodation capacity and connectivity issues should be seen as opportunities to attract investors, empower local entrepreneurs, and strengthen public-private partnerships to improve facilities and transportation networks.

She emphasised Labuan's strategic location in the heart of the Borneo archipelago, which connects it to Sabah, Sarawak, Brunei and Kalimantan, thus offering access to over 20 million people in the region.

"The development of (Indonesia's new administrative capital) ​Nusantara Capital City (IKN) in East Kalimantan opens up great opportunities for Labuan to become a major stopover destination, logistics centre, and international event hub connecting IKN with markets and tourists from across the region," she also said.

Dr. Zaliha added that the success of BFF should be a catalyst for organising subsequent events such as the Borneo Arts Festival, in collaboration with the Ministry of National Unity and the Ministry of Tourism, Arts and Culture, to promote Labuan at the regional and international levels.

-- BERNAMA