Labuan to develop captives to drive growth in 2017

Labuan International Business and Financial Centre (Labuan IBFC) has laid out its strategic plan to develop the jurisdiction by focusing on niche sectors such as captive insurance, leasing, commodity trading and wealth management in 2017.

Danial Mah Abdullah, CEO of Labuan IBFC, said: “We believe the changes in the way cross-border investment and trade are conducted due to demands for greater transparency is a business enabler for Labuan IBFC."

More than 13,000 companies were incorporated in Labuan last year, which Abdullah hopes will continue to attract investors, global corporations and reputable services providers to the centre, for example from China.

“We will be focusing on developing the niches with high growth potential and these sectors have been showing a positive upward trend in driving the midshore centre’s development in the recent years."

Labuan IBFC’s Q3 2016 number showed there was an increase of 14 percent in commodity trading companies operating in Labuan and about a 13.8 percent increase in the establishment of private and charitable foundations.