Penang’s Meetings, Incentives, Conferences and Exhibitions (MICE) industry recorded an estimated economic impact (EEI) of RM1 billion in 2025, reinforcing the sector’s growing role in supporting the state’s tourism and property ecosystem.

State Tourism and Creative Economy Committee chairman Wong Hon Wai said the figure reflects the broad spillover effects of MICE activities, benefitting transportation, retail, hospitality and supply chain-related sectors across Penang.

According to him, the opening of the Penang Waterfront Convention Centre (PWCC) is expected to further lift the sector’s contribution in 2026, as demand for event hosting in Penang continues to trend upward. It is anticipated that the actual economic impact could exceed current estimates as the new facility gains traction.

Wong was speaking after working visit to PWCC at The Light City with Penang Chief Minister Chow Kon Yeow. Also present was Tony Ling Thou Lung, director of IJM Corporation Bhd.

Chow noted that Penang’s MICE segment has shown steady growth over recent years, supported by coordinated efforts from the Penang Convention & Exhibition Bureau (PCEB) and Penang Global Tourism (PGT). He said PWCC is expected to strengthen Penang’s position as a MICE and tourism hub, not only for the northern region but also at the national level.

Importantly, Chow stressed that the introduction of PWCC is not aimed at competing with existing venues. Instead, it is designed to accommodate rising demand from organisers and delegates who are increasingly choosing Penang as an event destination.

PWCC has been operational since October last year, adding a new large-scale facility to Penang’s existing MICE ecosystem. Chow said that by mid-2026, the supporting components within the development — including a shopping mall, office spaces and a hotel — are expected to be fully completed.

“This integrated development will play a significant role in enhancing Penang’s overall attractiveness as a MICE destination and help unlock further tourism and economic potential,” he said.

On concerns surrounding a potential oversupply of retail space, Chow emphasised that the mixed-use components within the PWCC precinct should be viewed as supporting infrastructure rather than standalone developments.

“The shopping mall, offices and hotel are integral parts of the convention centre ecosystem. They provide essential amenities and services for events, visitors and the surrounding area, and act as a catalyst for broader development,” he added.

IJM’s Ling echoed this view, saying the shopping mall component is not intended to add to an oversupply of malls in Penang. Instead, it is part of a carefully planned mixed-use development with a specific role in supporting the convention centre, office and hospitality uses.

“Oversupply suggests a lack of planning or relevance. In this case, the retail component serves the needs of the precinct and complements the overall development,” he said.

PWCC forms part of a RM4.5 billion freehold waterfront project with a gross floor area exceeding 330,000 sq ft. The development is strategically located along the Tun Dr Lim Chong Eu Expressway, near the Penang Bridge and The Light Waterfront.

The project is a joint venture between IJM and Perennial Holdings Private Ltd, and is positioned as a key anchor in Penang’s long-term waterfront and MICE-led development strategy.