LABUAN IBFC EYES 20 PCT GROWTH

KUALA LUMPUR, March 3 (Bernama) -- Labuan International Business and
Financial Centre (Labuan IBFC) expects 20 per cent growth in overall business
this year following the introduction of a new regulatory framework.

Labuan Financial Services Authority director-general, Azizan Abdul Rahman,
said over the years, the centre has recorded about 10 per cent growth in terms
of companies incorporated, business volume and licences issued.

"With the new legislative framework and robustness of our marketing arm,
Labuan IBFC Inc Sdn Bhd, we can expect to achieve more," he told a media
briefing on Labuan IBFC's jurisdictional update here Wednesday.

The new laws came into effect on Feb 11. Four new Acts were enacted and
comprehensive amendments made to four existing acts from 10 Acts previously.

He said the new regulatory framework, which was robust, transparent and
accountable, would help Labuan FSA regulate and supervise the financial
institutions and licensed entities.

"The new laws have broadened Labuan IBFC's jurisdiction to cater to
investment holding companies' requirements such as captive insurance, trusts,
foundations as well as Islamic financial services and products," he said.

Meanwhile, Labuan IBFC Inc's chief executive officer, David Kinloch, said
one key element of the new legislation was that Malaysians with foreign assets
or foreigners with Malaysian assets were now able to structure their investments
via Labuan IBFC.

"In view of the growing international asset base held by Malaysians, Labuan
IBFC is well-poised to become their jurisdiction of choice for wealth and estate
management," he said.

A total of 7,322 companies were established in Labuan IBFC as of October
last year.

Among them were 22 trust companies, 59 international banks, 151 licensed
insurance companies, 132 mortgage companies and 21 fund management companies. --
BERNAMA