Plan for SME hub in Medini Iskandar

22 October 2011 , By Business Times

A dedicated hub for small and medium enterprises (SMEs) will be set up on a 121-hectare zone at the Medini Iskandar Malaysia to provide an opportunity for SMEs to contribute to the growth of the corridor.

Iskandar Regional Development Authority (IRDA) chief executive Ismail Ibrahim said the facility will be set up in anticipation of the arrival of more SMEs to Iskandar Malaysia following a RM2 billion syariah-compliant SME Financing Fund announced in the recent Budget.

"In a show of support for SMEs, a special business park in the flagship site of Medini in Nusajaya will be developed to cater to the needs of the SMEs.

"Global Capital & Development (GCD), which holds the concession to develop Medini, will be seeking investor-developer partners to set up the SME park," Ismail said during a press conference at Global Entropolis @Singapore at the Resort World Sentosa Convention Centre, Singapore, on Tuesday.

He said details on the SME park was still being finalised by GDC.

"In addition to SMEs involved in the media industry, which is part of their (GCD) portfolio, the business park will be relevant to those engaged in high-end technology, research, product development, business processing, telecommunications, call centre and data centre," he said.

On Singaporean investments in Iskandar Malaysia, Ismail said the cumulative committed investments from the island state stands at RM75.96 billion as of the second quarter of 2011. (Note: This was wrongly quoted by NST journalist)

Of this figure, RM3.67 billion was invested in the manufacturing sector and RM463 million in the services sector, of which RM100 million was in healthcare.

"In terms of manufacturing, Singapore is one of the top three investors in Iskandar Malaysia."

On a related matter, Ismail said Iskandar Malaysia is still aggressive in competing with other countries in the region and other growth corridors in Malaysia.

"We acknowledge there is competition from Vietnam and Indonesia but we still stand out, due to our good location and investment-ready climate."

Ismail said efforts must be made to return the Sultan Ismail Airport in Senai to its full potential as a regional aviation hub for passenger and cargo services as there are many growth clusters in Senai.

Ismail's comments come after a call by state Tourism and Domestic Trade Committee chairman Hoo Seong Chang for FlyFirefly Sdn Bhd to re-consider its decision to stop flights to Sabah and Sarawak from the airport.