LABUAN — The duty-free shopping limit for visitors to Labuan and Langkawi has been increased to RM10,000, subject to a minimum stay of 48 hours, under measures announced in the 2027 Budget to stimulate local economic activity.
Abdullah Izhar Mohamed Yusof, political secretary to the Communications Minister, said the measure could create more opportunities for local businesses, particularly in tourism, trade, financial services and small and medium enterprises (SMEs).
“Labuan, as a strategic Federal Territory, has tremendous potential in tourism, trade, financial services and SMEs,” he said when officiating the closing ceremony of the Kita MADANI Carnival 2026 at Financial Park here today.
He said the higher duty-free shopping limit would help stimulate local economic activity, but its benefits would depend on improvements in service quality and the promotion of local products.
“The benefits of this measure can only be fully realised if we work together to improve service quality and promote local products,” he said.
Abdullah said the government had allocated RM16 billion for the Sumbangan Tunai Rahmah (STR) and Sumbangan Asas Rahmah (SARA) assistance programmes, as well as nearly RM3.3 billion to the Social Welfare Department for various forms of social assistance.
The 2027 Budget also aims to create 30,000 new jobs for young people through the Bakat MADANI initiative, while RM8 billion has been allocated for Technical and Vocational Education and Training (TVET) programmes across ministries.
In addition, RM200 million has been allocated under the Geran Sejahtera MADANI initiative to provide equipment and training for 40,000 recipients, particularly women, while microfinancing facilities will be increased to RM6.6 billion in 2027 to support small businesses.
Abdullah said the government would continue to address issues affecting Labuan residents, including the cost of living, employment opportunities, water supply and basic facilities.
He also highlighted the role of the Information Department in ensuring that the public receives accurate government information amid the rapid spread of misinformation in the digital era.
He urged participants at the Budget 2027 forum, organised by the Labuan Federal Territory Information Department, to share the information they gained with their families, colleagues and communities through social media and MADANI Community networks.
Also present was Labuan Information Department director Ruddyansjah Mahtar Hams.
