LABUAN: Labuan remains an economic backwater some four decades after the federal government turned it into a federal territory.
Parti Bersatu Sabah president Datuk Seri Dr Maximus Ongkili said the federal government needs to reinvigorate the development of the island as a regional economic and financial investment hub.
He said business operators and chambers are beginning to voice their worries and grouses, stressing that Labuan's economic centre will continue to be forgotten.
"Since the federalisation of Labuan in 1984, a lot of development has taken place. But it has not been sustainable either as economic finance or regional commercial development centre for Sabah and Sarawak, in particular.
"So, after 38 years, it has been a disappointing track record so far (for Labuan)," he said when opening the PBS Labuan 36th and 37th annual general meeting, here.
Ongkili, who is minister in the Prime Minister's Department (Sabah and Sarawak Affairs) said there are more than 20 laws and corporate policies for the development of the regional financial centre, but very little has been achieved.
In terms of economic development, Labuan has been stagnant for the last five years.
"The promise for a bridge connecting Labuan and Sabah has been approved by the federal government but until now, no development has taken place.
"The financial commitment for the project, to date, has not been achieved. The situation worsened with the oil and gas sector not performing well in the last three years.
"People living on this island have expressed their disappointment and felt their welfare has been taken for granted," he said, adding that the people are still facing water shortages due to the old piping system.