THE OFFICIAL LAUNCH OF GBS@MAYANG AND MSC MALAYSIA CYBERCENTRE AWARD
SPEECH BY CHIEF MINISTER OF PENANG
AT THE OFFICIAL LAUNCH OF GBS@MAYANG AND MSC MALAYSIA CYBERCENTRE AWARD
6 December 2018
GBS@Mayang, Bayan Baru, Penang
Good morning. It gives me great pleasure to welcome all of you here today for the official launch of GBS@Mayang, a premier global business services landmark in Penang’s strategy to maximise growth potential in the services industry.
GBS@Mayang by PDC signifies an important milestone in the Penang State Government’s initiatives in providing MSC-status facilities - creating higher value jobs, leveraging on Penang as an international and intelligent city as well as a destination of choice for investors. This is in line with Penang 2030 action plan especially under the second thrust of “Upgrade the economy to raise household incomes”.
PENANG’S GLOBAL BUSINESS SERVICES (GBS) ECOSYSTEM
Ladies and Gentlemen,
Penang has had industrial experience of more than 45 years with many highly-skilled talents with cumulative residual intelligence. While the manufacturing sector continues to grow, many have since expanded and diversified their business activities in manufacturing activities to services. Many companies, led by the numerous MNCs here, have expanded from the manufacturing base to include global business services (GBS). Penang will continue to increase our participation in the third wave of development of the services sector, encompassing Global Business - GBS/SSO, BPO, Research & Development (R&D), Design & Development (D&D), and smart manufacturing, encompassing IoT and Industry 4.0.
In the latest Principal Hub Investment Report by States released by MIDA in 2016, Penang received the second largest investments for Global Establishments for Services or ‘Principal Hub’ after Kuala Lumpur with an investment value of RM4.1 billion. Penang currently hosts a vibrant GBS community with over 50 GBS companies providing more than 10,000 high income jobs for knowledge workers and high-skilled workers - serving both regional and global markets. Job opportunities are expected to grow in tandem with more investments in this sector. During InvestPenang’s GBS Talent Outreach held few weeks ago which I launched, it is clear that GBS companies in Penang have strong confidence in our talents and these companies continue to move up the value chain, further enhancing the skills and knowledge for our talents in Penang.
GBS@MAYANG AND MSC MALAYSIA CYBERCENTRE STATUS RECOGNITION
Ladies & Gentlemen,
Last year, responding to the growing needs of the GBS industry, the State through Penang Development Corporation has undertaken a proactive initiative in allocating RM10 million to refurbish this building to turn it as a premier GBS hub in Penang. The refurbishment works included major facelift of the building facade, improvement of amenities and most importantly, infrastructure upgrades in line with MDeC’s MSC Malaysia Tier 1 Cybercentre standards. An approximate total of 125,000 square feet of MSC Malaysia Cybercentre office space were made available after the upgrading.
The MSC Cybercentre Status Recognition that will be presented today by MDeC on behalf of the Minister of Communication and Multimedia is an award given to niche business locations that meet MSC Malaysia standards and criteria to deliver the MSC Malaysia Bill of Guarantees to MSC Malaysia-status companies. With this status, GBS@Mayang would strengthen its foothold as an attractive choice for companies wishing to be located in a prime area and enjoy the benefits that come with being MSC-status certified.
Today, we are able to witness the realization of GBS@Mayang as a GBS hub with four global names already operating in this building. These companies are global leaders in their respective industries which are Jabil, Swarovski, Cerium and Tesla. I understand that more than 80% of this building are already tenanted or pre-let, and more GBS companies will be moving in to run their GBS activities here.
In addition to infrastructure, this building is already centrally located in the heart of Bayan Baru’s business district with good connectivity, where the majority of our GBS/SSO players and more than 200 MSC Malaysia companies are housed in the Penang Cyber City. Penang is 2nd after Klang Valley hosting the highest number of MSC Malaysia Status companies in Malaysia.
CLOSING REMARK
In closing, I wish to congratulate Penang Development Corporation and InvestPenang in their commitment and initiative in the transformation efforts of GBS@Mayang, and their continuous efforts to spur the development of investments in Penang and facilitation of investors’ needs.
On that note, I am pleased to launch this GBS@Mayang as a MSC Malaysia Cybercentre.
Thank you.