KOTA BHARU, KELANTAN, 26 JULY 2022: The State Government of Kelantan through Invest Kelantan in collaboration with the East Coast Economic Region Development Council (ECERDC) and Malaysian Investment Development Authority (MIDA), organised the Kelantan Investment Day 2022 (KID 2022) to create awareness and promote Kelantan to potential investors, especially on the availability of special incentives from the state and federal government for investors.
Yang Berhormat Dato’ Haji Hanifa bin Ahmad, the Chairman of Industrial, Trade and Investment and Entrepreneur Development Committee for the State of Kelantan officiated the event at the Grand Riverview Hotel in Kota Bharu today.
“The Kelantan State Government is keen to attract new investments into Kelantan. We organised this event to highlight specific businesses and investment opportunities available while showcasing the general economic potential of Kelantan. Alhamdulillah, the close collaboration between Invest Kelantan, ECERDC and MIDA, as well as the Kelantan Special Incentive Package, we can see more interest from investors to invest in Kelantan this year,” said Deputy State Secretary (Development) of Kelantan, YM Dato’ Dr. Tengku Mohamed Faziharudean bin Tengku Feissal.
Under the Kelantan Special Incentive Package, eligible investors can enjoy 100% income tax exemption for 15 years and an extension of another five years for special income tax at a special rate of 17%. Furthermore, non-citizens holding senior management positions in companies that are included under this initiative will only be subject to a flat tax rate of 15% as an added incentive to increase Kelantan’s competitiveness as an investment destination.
“With the attractive Kelantan Special Incentive Package, ECERDC has stepped up efforts to promote Kelantan to potential investors and as of June 2022, committed investment for Kelantan stood at RM5.2 billion. We have also surpassed our investment target for Kelantan of RM1.8 billion for 2022,” said YBhg. Dato’ Baidzawi Che Mat, Chief Executive Officer of ECERDC.
Kelantan has recorded to date, the highest committed investment compared to other ECER states. The renewable energy sector attracted the highest investment, which amounted to about 62% of the total investment while the manufacturing sector contributed to about 25%.
At KID 2022, ECERDC highlighted investment opportunities in Kelantan notably the Pasir Mas Halal Park (PMHP), Tok Bali Integrated Fisheries Park (TBIFP) and the upcoming Tok Bali Industrial Park (TBIP). Potential investors are also encouraged to tap into investment offering in agro-business and tourism sectors.
MIDF, Agrobank and Maybank also participated in the event, presenting on the financing prospects for investments in Kelantan.
In conjunction with KID 2022, Menteri Besar of Kelantan YAB Ustaz Dato’ Bentara Kanan Haji Ahmad bin Yakob also launched the Kelantan State Investment Policy.
“The continuous close cooperation between ECERDC, the Federal and State Governments, as well as relevant agencies has resulted in the significant increase of interest among new investors to invest in Kelantan. We are confident that the ongoing infrastructure and connectivity development will boost Kelantan’s attraction as a competitive investment destination,” added Dato’ Baidzawi.