The Terengganu state government has taken a proactive approach to transform its economic dependability from oil and gas sector to tourism.
In launching the initial master plan for tourism transformation at a hotel in Kuala Lumpur, Terengganu Menteri Besar Dato Seri Ahmad Razif Abd Rahman highlighted that “In 2016, the global tourism revenue amounted to USD1.22 trillion.
“Today, the business volume of tourism equals or even surpasses that of oil exports.
“In Malaysia, the tourism industry ranks second after the oil & gas industry. The tourism industry earned RM82.1 billion in 2016 with 26.8 million tourists.”
In his speech he added the aspirations for the State tourism sector are lofty and in sync with the aspirations of the Federal Government as reflected in the 2018 budget.
“The Visit Malaysia Year 2020 is key for Malaysia, and Terengganu is gearing its own tourism industry to leverage and support this.
“This is manifested by the State of Terengganu in appointing PEMANDU Associates to craft the Terengganu State Tourism Master Plan 2018-2025.” Razif pointed out.
The Terengganu Government has been very dependent on oil and gas which contributes about 85 per cent of the state’s economy.
Tourism is the second major revenue earner, contributing about 10 to 15 per cent.
The state government aspires to diversify its revenue base and economic activities.
The state government targets to increase the revenue contribution from the tourism sector to between 30% to 50% of the GDP by 2025.
This is a quantum leap and thus demands a structural transformation of the tourism sector.
It is in essence a game changer for Terengganu.
“Terengganu will be strengthening its tourism and heritage products, and embark on the upgrading of its tourism centers on the islands and the development of state parks.
“The role of the institutions and the community will be strengthened in the implementation of the master plan.
“In the area of marketing, it will leverage on smart tourism, digital technology and the internet to reach out to the target market segments.” Razif highlighted.