GEORGE TOWN: The establishment of the Penang Technology Financial Centre (PTFC) positions the state to capitalise on global geopolitical shifts and the artificial intelligence (AI) supercycle, further accelerating growth in the semiconductor and electrical and electronics (E&E) sectors.
Chief Minister Chow Kon Yeow said the rapid growth of AI was creating opportunities for local companies to expand their businesses and enhance their capabilities, further strengthening the existing technology ecosystem.
He said the PTFC aimed to build a more integrated financial and investment ecosystem to mobilise capital, financial services and innovative financing solutions to accelerate the development of the technology sector in Penang, the northern region and the country.
“Penang and the northern region are the country’s high-tech hubs, and we want to leverage these existing strengths to improve access to capital, particularly for small and medium enterprises (SMEs) and technology start-ups,” he said at the Penang State Legislative Assembly sitting here today.
He was responding to a supplementary question from Gooi Hsiao-Leung (PH-Bukit Tengah) on the expected benefits of establishing the PTFC for the state and the country.
Chow said Penang’s designation as the country’s technology financial centre in Budget 2027 marked an important development that would enable the initiative to play a greater role in supporting the national technology development agenda.
He said the PTFC could also support the implementation of the National Semiconductor Strategy (NSS) and the New Industrial Master Plan 2030 (NIMP 2030), particularly by accelerating technology commercialisation and the growth of high-value industries such as semiconductors and advanced manufacturing.
On its potential economic benefits, Chow said the PTFC could act as a catalyst for new funding and investment inflows, while generating spillover benefits for SMEs, start-ups and higher education institutions involved in research and development (R&D).
“With access to capital and financing support, we want not only to see R&D being carried out but also to ensure that research findings are commercialised into technology projects and products,” he said.
He said engagements with the Finance Ministry would be stepped up after the Budget was passed, including efforts to establish a joint state and federal government committee to coordinate the initiative’s implementation.
When tabling Budget 2027 on Oct 9, Prime Minister and Finance Minister Anwar Ibrahim announced that Penang would be designated the country’s Technology Financial Centre.
Anwar also said Khazanah Nasional Bhd and InvestPenang would establish a RM100 million fund to support semiconductor and advanced manufacturing companies in the early stages of growth.
