Labuan IBFC Rises To 55th In Global Financial Centres Index
By Jailani Hasan
LABUAN, March 31 (Bernama) -- The Labuan International Business and Financial Centre (IBFC) is well-positioned to complement Malaysia’s broader financial ecosystem and strengthen the nation’s global appeal, said Labuan Financial Services Authority director general Affendi Rashdi.
He said Labuan IBFC improved its standing in the Global Financial Centres Index (GFCI 39), advancing to 55th place from 60th previously, underscoring its growing role in the country’s financial ecosystem as well as its international profile and competitiveness.
“Ranked among 120 financial centres worldwide, the improved position highlights Labuan IBFC’s forward-looking development trajectory and expanding role in the global financial landscape,” he said in a statement to Bernama today.
The GFCI is a globally recognised benchmark that assesses the competitiveness of financial centres and is widely regarded as one of the most authoritative evaluations of the world’s leading financial hubs.
He said in the latest assessment, Labuan IBFC was among the top six financial centres in the Asia-Pacific region, demonstrating upward movement in the index, reflecting its rising prominence in the region.
“The centre also progressed from the ‘International Specialist’ category to the ‘International Contender’ category, signalling its growing influence, broader market capabilities and increasing appeal as a globally competitive financial hub,” he said.
Affendi said beyond the overall ranking, Labuan IBFC secured 37th place globally for its FinTech offering, placing it ahead of several major regional centres and underscoring its strengthening innovation capabilities in financial technology.
“It was also recognised among the top 15 financial centres globally with a reputational advantage, reflecting increasing awareness of its strengths and growing confidence among international investors.
“Labuan IBFC is increasingly recognised as a safe, credible and strategically located gateway for cross-border fund flows, particularly within Asia and emerging markets.
“This standing was further reinforced by Malaysia’s strong outcome in the 2025 Financial Action Task Force (FATF) Mutual Evaluation, which highlighted the country’s enhanced safeguards against illicit financial activities and recognised Labuan IBFC as part of the broader strength of Malaysia’s AML/CFT/CPF framework,” he added.
Anchored by a business-facilitative regulatory environment, tax efficiency and seamless cross-border structuring capabilities, Affendi said Labuan IBFC is well-positioned to support capital mobilisation, fund domiciliation and wealth management activities for global investors.
“Its strong connectivity to Malaysia’s financial system further enhances its value proposition, offering a dual financial ecosystem that combines international flexibility with domestic depth, stability and market access.
“Labuan IBFC is also advancing its role as an emerging hub for sustainable and climate-focused finance, aligned with global environmental, social and governance (ESG) and Islamic finance trends, including offerings such as climate sukuk and a growing ecosystem of Islamic digital financial services.
“Labuan IBFC reinforces Malaysia’s global appeal as a destination of choice for international funds seeking stability, resilience and strategic growth, all in one package,” he added.
-- BERNAMA
