Published November 9, 2009

MALAYSIA INSIGHT
Pull out all the stops for tourism in Malaysia

Use Lonely Planet's endorsement to boost the sector and attract more visitors

By PAULINE NG
KL CORRESPONDENT
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GETTING into Lonely Planet's Top 10 countries for 2010 must be gratifying for Malaysia's tourism authorities.

Here's what the popular travel guide had to say of its fourth top pick for next year: 'Malaysia often gets criticised as being mild in comparison with its grittier neighbours, Thailand and Indonesia.

'It's true, natural disasters and coups only seem to happen across its borders, the roads don't have too many potholes, buses and trains have air-con and plush seats, and hotels are of international standard.'

Worldwide, tourism is big business. In Malaysia, where it has been growing steadily, it appears set to become a bigger deal given the government's preparedness to invest in the sector because it believes the economic multiplier is huge.

Tourism is one of the country's biggest revenue earners, tourist spending last year amounting to nearly RM50 billion (S$20.5 billion).

A significant part of the economy, tourism accounts for 12-13 per cent of gross domestic product. It also forms part of the services sector, which Malaysia wants to see expanded rather than see a continued reliance on low-value manufacturing.



State investment agency Khazanah Nasional plans to invest over RM1 billion in the leisure industry over the next 2-3 years in the form of six additional theme and leisure projects costing an average RM200-300 million each. Themed Attractions & Resorts (TAR), its tourism subsidiary, believes this approach will help boost the economy, increasing employment and business opportunities.

Last Saturday, it entered into a strategic alliance with HIT Entertainment, Japan's Sanrio and Traders Hotel for the creation of a 60,000 square foot family indoor theme park in Nusajaya targeted at kids under 12.

HIT Entertainment is known for its characters such as Thomas & Friends, Bob the Builder, Angelina Ballerina, Barney & Friends, and Pingu. Sanrio's biggest pull is its Hello Kitty character.

The theme park is to be located in a complex to be completed by end-2012, which will also house a 300-room Traders Hotel, a Lat-themed family restaurant as well as 100,000 sq ft of retail space. (Lat is a popular Malaysian cartoonist who also has avid fans overseas.)

TAR will fork out RM350 million to build the complex, which is expected to pull in an estimated 400,000 visitors annually.

Currently under construction, the nearby RM750 million Legoland park is expected to draw 1.2 million visitors. In the Klang Valley, another RM50 million has been invested in a children's edutainment centre called Kidzania.

Over the next few years, Malaysia will have some RM2.5 billion worth of new tourism hardware.

Because of its focus on tourists from China, India and West Asian markets that are more family-oriented, Malaysia believes such leisure attractions are the way to pull tourists in (particularly Singaporeans and visitors to Singapore) and to get them to stay longer. Ostensibly, the average tourist spend in Malaysia is lower than in neighbouring Singapore and Thailand because tourists find little to occupy themselves with in Malaysia.

Despite the proliferation of leisure parks in the region - including those planned in Singapore, Hong Kong and China - Khazanah reckons Iskandar Malaysia's will be complementary, and the market big enough for all.

Leisure parks could well add value to a tourist itinerary. But what's worth noting is the tourism boom experienced by Penang and Malacca after Unesco listed their cities as World Heritage Sites.

The unique and beautiful architectural and cultural townscapes of these attractions are unique to Malaysia and cannot be duplicated elsewhere. If properly maintained and promoted, they will continue to attract many more tourists - usually the more discerning, and who are prepared to spend more for the experience.

As Lonely Planet observed: 'Malaysia lets you leap into the jaws of one of the most interesting parts of South-east Asia's roaring cultural smorgasbord.'

Indeed, it boggles the mind why so much of Malaysia's existing historical, cultural and ecological heritage remains undertapped and underfunded in the whole scheme of tourism, because it is certainly deserving of a lot more attention and funds.