Penang cements position as medical tourism hub with RM2b Penang Medi-City project
20 Jan 2025
Penang is expected to strengthen its position as a top medical tourism hub in South-east Asia with an upcoming multibillion-ringgit Penang Medi-City project in Batu Kawan.
The mega-project, spread out over 235.8 acres, will take about 15 years to complete and is expected to feature mixed development of at least four hospitals, various health and wellness facilities, technology parks, commercial centres, serviced apartments, schools and residential areas.
“This is one of the largest private investments we are receiving in Penang, at RM2 billion for phase one and a few more billions in the other phases, in a sector outside of the manufacturing sector,” said Penang chief minister Chow Kon Yeow at a press conference after the official signing ceremony of a master sale and purchase and development agreement between Penang Development Corporation (PDC) and Fajarbaru Builder Group (FBG).
He said PDC has been working on the idea for a medical city for more than five years and have discussed it with various companies.
“We have also called for Request for Proposal for this,” he said.
He added that the project will be a catalyst project for Batu Kawan as it is expected to feature more than 1,000 hospital beds and become a one-stop medical hub for Penang, the northern region and Asean.
“Penang is now dominating the medical tourism industry in the country, with a 45 per cent market share,” he said.
He said the medical tourism industry in the state has continued to expand in recent years that the state is one of the main destinations for medical tourists seeking high quality medical services at affordable rates.
He said the Penang Medi-City development in Batu Kawan will strengthen the state’s position as a main medical tourism hub in South-east Asia.
He also said the project is expected to create thousands of job opportunities during construction and upon completion, it could create even more high-value jobs in the medical and services industry.
“This project proves that Seberang Perai and Batu Kawan is set to be the future of Penang,” he said.
FBG group executive chairman Tan Sri Chan Kong Choy said Phase One of the project, which covers about 51 acres, will have a gross development value of RM2 billion.
“There will be one hospital first but we are also in discussions with several other medical operators, local and international,” he said.
He said the overall project, which is in four phases, will have not less than four hospitals of various disciplines.
“There will also be related healthcare and wellness service operators,” he said.
He said they will also consider traditional Chinese medicine and alternative medicines operators as these are also huge growing markets.
Phase one of the project is expected to launch in the fourth quarter of next year and will take about eight years to complete.
Source: Malay Mail
