State Cabinet to revisit hotel licensing fees in six to eight months, three-star hotels at risk

LocalBusiness & Finance
9 Mar 2025 • 9:04 PM MYT
Daily Express
Daily Express

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By: Jonathan Nicholas

KOTA KINABALU: The State Cabinet will take at least six to eight months before reviewing the reimplemented hotel licensing fee structure, which could force some three-star hotels to shut down.

Tourism, Culture and Environment Minister Datuk Seri Christina Liew (pic) said the Malaysian Association of Hotels (MAH) Sabah Chapter had met her twice to raise concerns.

She said the matter has been brought to the Cabinet, which has maintained its decision with City Hall while seeking the best outcome, adding that she has also discussed the issue with the Mayor.

MAH Sabah and Labuan Chapter Chairman Hafizan Wong highlighted that a 100-room "second-class" hotel now faces a monthly fee of RM4,800, a sharp increase from the previous RM1,000 annual fee.

Meanwhile, Liew disclosed that Kepkas will launch 12 major projects this year, including the Sabah Cultural Complex in Kinarut, the Elephant Food Corridor in Kinabatangan, and the Sabah Wetlands upgrading project in Kudat by March.