Labuan (), officially the Federal Territory of Labuan ( ms, Wilayah Persekutuan Labuan), is a

Federal Territory A federal territory is an administrative division under the direct and usually exclusive jurisdiction of a federation's national government. A federal territory is a part of a federation, but not a part of any federated state. The states constit ...

Malaysia Malaysia ( ; ) is a country in Southeast Asia. The federation, federal constitutional monarchy consists of States and federal territories of Malaysia, thirteen states and three federal territories, separated by the South China Sea into two r ...

. Its territory includes and six smaller islands, off the coast of the state of

Sabah Sabah () is a States and federal territories of Malaysia, state of Malaysia located in northern Borneo, in the region of East Malaysia. Sabah borders the Malaysian state of Sarawak to the southwest and the North Kalimantan province of Indone ...

East Malaysia East Malaysia (), or the Borneo States, also known as Malaysian Borneo, is the part of Malaysia on and near the island of Borneo, the world's third-largest island. Near the coast of Sabah is a small archipelago called Labuan. East Malaysia li ...

. Labuan's capital is

Victoria Victoria most commonly refers to: * Victoria (Australia), a state of the Commonwealth of Australia * Victoria, British Columbia, provincial capital of British Columbia, Canada * Victoria (mythology), Roman goddess of Victory * Victoria, Seychelle ...

and is best known as an

offshore financial centre An offshore financial centre (OFC) is defined as a "country or jurisdiction that provides financial services to nonresidents on a scale that is incommensurate with the size and the financing of its domestic economy." "Offshore" does not refer ...

offering international financial and business services via

Labuan IBFC Labuan International Business and Financial Centre (IBFC) is a special economic zone of the Malaysian government based on the island of Labuan off the Borneo coast. It was established in 1990 and has been marketed as having a unique position to tap ...

since 1990 as well as being an offshore support hub for deepwater oil and gas activities in the region. It is also a tourist destination for people travelling through Sabah, nearby Bruneians and

scuba divers This is a list of underwater divers whose exploits have made them notable. Underwater divers are people who take part in underwater diving activities – Underwater diving is practiced as part of an occupation, or for recreation, where t ...

. The name Labuan derives from the Malay word ''labuhan'' which means harbour.

History

For three centuries from the 15th century, the north and west coast of

Borneo Borneo (; id, Kalimantan) is the third-largest island in the world and the largest in Asia. At the geographic centre of Maritime Southeast Asia, in relation to major Indonesian islands, it is located north of Java, west of Sulawesi, and eas ...

including the island of Labuan was part of the

Sultanate of Brunei This article includes a list of successive Islamic states and Muslim dynasties beginning with the time of the Islamic prophet Muhammad (570–632 CE) and the early Muslim conquests that spread Islam outside of the Arabian Peninsula, and continui ...

. In 1775, Labuan was temporarily occupied by the

British East India Company The East India Company (EIC) was an English, and later British, joint-stock company founded in 1600 and dissolved in 1874. It was formed to trade in the Indian Ocean region, initially with the East Indies (the Indian subcontinent and Southea ...

after the failure of the company's station at Balambangan Island. The Sultan of Brunei,

Omar Ali Saifuddin I Omar Ali Saifuddin I ( Jawi: عمر علي سيف الدين١; died 10 July 1795) was the 18th Sultan of Brunei from 1740 until his abdication in favor of his eldest son Muhammad Tajuddin in 1778. He succeeded his father-in-law, Sultan Hussi ...

tried to secure the British East India Company’s support against the Sulu raiders by offering Labuan as an alternative to Balambangan but, instead the company made a second but failed attempt to set up a station on Balambangan. The Sultan's subsequent reoffering of Labuan to the company did not result in the establishment of a permanent British settlement on the island either. British policy changed in the 18th century, when Labuan started to attract British interest again.

James Brooke Sir James Brooke, Rajah of Sarawak (29 April 1803 – 11 June 1868), was a British soldier and adventurer who founded the Raj of Sarawak in Borneo. He ruled as the first White Rajah of Sarawak from 1841 until his death in 1868. Brooke was bor ...

acquired the island for Britain through the

Treaty of Labuan The Treaty of Labuan was signed between Great Britain and the Brunei Sultanate on 18 December 1846. Under this treaty, the Sultan of Brunei ceded the island of Labuan to Great Britain. Background Labuan had belonged to Brunei since the reig ...

with the Sultan of Brunei,

Omar Ali Saifuddin II Omar Ali Saifuddin II (; ; 3 February 1799 – 20 November 1852) was the 23rd Sultan of Brunei, then known as the Bruneian Empire. During his reign, Western powers such as Great Britain and the United States visited the country. His reign saw t ...

on 18 December 1846. A British naval officer,

Rodney Mundy Admiral of the Fleet (Royal Navy), Admiral of the Fleet Sir (George) Rodney Mundy, (19 April 1805 – 23 December 1884) was a Royal Navy officer. As a commander, he persuaded the United Kingdom of the Netherlands, Dutch to surrender Antwerp durin ...

, visited Brunei with his ship HMS ''Iris'' to keep the Sultan in line until the British Government made a final decision to take the island and he took Pengiran Mumin to witness the island's accession to the

British Crown The Crown is the state (polity), state in all its aspects within the jurisprudence of the Commonwealth realms and their subdivisions (such as the Crown Dependencies, British Overseas Territories, overseas territories, Provinces and territorie ...

on 24 December 1846. Some sources state that during the signing of the treaty, the Sultan had been threatened by a

British navy The Royal Navy (RN) is the United Kingdom's naval warfare force. Although warships were used by English and Scottish kings from the early medieval period, the first major maritime engagements were fought in the Hundred Years' War against F ...

warship ready to fire on the Sultan's palace if he refused to sign the treaty while another source says the island was ceded to Britain as a reward for assistance in combating pirates. The main reason why the

British British may refer to: Peoples, culture, and language * British people, nationals or natives of the United Kingdom, British Overseas Territories, and Crown Dependencies. ** Britishness, the British identity and common culture * British English, ...

acquired the island was to establish a naval station to protect their commercial interest in the region and to suppress piracy in the

South China Sea The South China Sea is a marginal sea of the Western Pacific Ocean. It is bounded in the north by the shores of South China (hence the name), in the west by the Indochinese Peninsula, in the east by the islands of Taiwan and northwestern Phil ...

. The British also believed the island could be the next

Singapore Singapore (), officially the Republic of Singapore, is a sovereign island country and city-state in maritime Southeast Asia. It lies about one degree of latitude () north of the equator, off the southern tip of the Malay Peninsula, borde ...

. The island became a Crown Colony in 1848 with

appointed as the first governor and commander-in-chief, with William Napier as his lieutenant-governor. In 1849, the Eastern Archipelago Company became the first of several British companies to try to exploit Labuan coal deposits. The company was formed to exploit coal deposits on the island and adjacent coast of Borneo but soon became involved in a dispute with

. Not proving itself a great commercial or strategic asset, administration of Labuan was handed to the

British North Borneo Company The North Borneo Chartered Company (NBCC), also known as the British North Borneo Company (BNBC) was a British chartered company formed on 1 November 1881 to administer and exploit the resources of North Borneo (present-day Sabah in Malaysia) ...

in 1890. In 1894, a

submarine communications cable A submarine communications cable is a cable laid on the sea bed between land-based stations to carry telecommunication signals across stretches of ocean and sea. The first submarine communications cables laid beginning in the 1850s carried tel ...

was built by the British to link the island's communications with

North Borneo North Borneo (usually known as British North Borneo, also known as the State of North Borneo) was a British Protectorate, British protectorate in the northern part of the island of Borneo, which is present day Sabah. The territory of North Borneo ...

, Singapore and

Hong Kong Hong Kong ( (US) or (UK); , ), officially the Hong Kong Special Administrative Region of the People's Republic of China ( abbr. Hong Kong SAR or HKSAR), is a city and special administrative region of China on the eastern Pearl River Delt ...

for the first time. By 30 October 1906, the British Government proposed to extend the boundaries of the

Straits Settlements The Straits Settlements were a group of British territories located in Southeast Asia. Headquartered in Singapore for more than a century, it was originally established in 1826 as part of the territories controlled by the British East India Comp ...

to include Labuan. The proposal took effect from 1 January 1907. File:The signing of the Treaty of Labuan on 18 December 1846.jpg, The signing of the

between the Brunei sultanate and the British delegation on 18 December 1846 at the

Brunei Brunei ( , ), formally Brunei Darussalam ( ms, Negara Brunei Darussalam, Jawi alphabet, Jawi: , ), is a country located on the north coast of the island of Borneo in Southeast Asia. Apart from its South China Sea coast, it is completely sur ...

palace File:Ceremony of Hoisting the British Flag on the island of Labuan, N. W. Coast of Borneo.jpg, British flag hoisted for the first time on the island on 24 December 1846 File:Map of Labuan (1888).jpg, An 1888 British Map of Labuan Japanese landing off the west coast of British North Borneo, Labuan

Japanese landing off the west coast of British North Borneo, Labuan

World War II World War II or the Second World War, often abbreviated as WWII or WW2, was a world war that lasted from 1939 to 1945. It involved the vast majority of the world's countries—including all of the great powers—forming two opposin ...

, Labuan was

occupied ' (Norwegian: ') is a Norwegian political thriller TV series that premiered on TV2 on 5 October 2015. Based on an original idea by Jo Nesbø, the series is co-created with Karianne Lund and Erik Skjoldbjærg. Season 2 premiered on 10 October ...

Japan Japan ( ja, 日本, or , and formally , ''Nihonkoku'') is an island country in East Asia. It is situated in the northwest Pacific Ocean, and is bordered on the west by the Sea of Japan, while extending from the Sea of Okhotsk in the north ...

from 3 January 1942 until June 1945 and garrisoned by units of the Japanese 37th Army, which controlled Northern Borneo. The island served as the administrative centre for the Japanese forces. During the occupation, the Japanese Government changed the island name to Maida Island ( 'Maeda-shima'' on 9 December 1942 after

Marquis A marquess (; french: marquis ), es, marqués, pt, marquês. is a nobleman of high hereditary rank in various European peerages and in those of some of their former colonies. The German language equivalent is Markgraf (margrave). A woman wi ...

Toshinari Maeda , was a Japanese general and the first commander of the Japanese forces in northern Borneo (Sarawak, Brunei, Labuan, and North Borneo) in World War II. Biography Maeda Toshinari was born the fifth son of the former ''daimyō'' of Nanokaichi Doma ...

, as a remembrance to the first Japanese commander in northern Borneo. Maeda was killed in an

air crash An aviation accident is defined by the Convention on International Civil Aviation Annex 13 as an occurrence associated with the operation of an aircraft, which takes place from the time any person boards the aircraft with the ''intention of fl ...

Bintulu Bintulu is a coastal town on the island of Borneo in the central region of Sarawak, Malaysia. Bintulu is located 610 kilometres (380 mi) northeast of Kuching, 216 kilometres (134 mi) northeast of Sibu, and 200 kilometres (120 mi) ...

, Sarawak when en route to the island to open the airfield there. As the Allied counter-attack came closer, the Japanese also developed Labuan and Brunei Bay as a naval base. American Support Craft (AWM 108818)

The liberation of Borneo by the Allied forces began on 10 June 1945 when the Australian Army under the command of Australian Major General George Wootten launched an attack under the codename of

Operation Oboe Six The Battle of North Borneo took place during the Second World War between Allied and Japanese forces. Part of the wider Borneo campaign of the Pacific War, it was fought between 10 June and 15 August 1945 in North Borneo (later known as Sabah) ...

. Labuan became the main objective for the Allied forces to repossess. Soon, the 9th Division of the Australian Army launched the attack with support from airstrikes and sea bombardments until the capture of the Labuan airstrip. Most of the Labuan island area including the main town of

was under the control of Allied forces within four days of the landing on 10 June. On 9 September 1945, the Japanese Lieutenant General Masao Baba officially surrendered at a place now known as Surrender Point near the Layang-layang beach which he had been brought to the 9th Division headquarters on the island to sign the surrender document in front of the Australian 9th Division Army Commander

George Wootten Major General Sir George Frederick Wootten, (1 May 1893 – 31 March 1970) was a senior Australian Army officer, public servant, right wing political activist and solicitor. He rose to the rank of temporary major general during the Second Wor ...

. The name of Labuan was later restored by the British and the island was administered under the British Military Administration together with the rest of the Straits Settlements. Labuan then on 15 July 1946 joined the North Borneo Crown Colony, which in turn became a part of the state of Sabah and

in 1963. In 1984, the Government of Sabah ceded Labuan to the

federal government A federation (also known as a federal state) is a political entity characterized by a union of partially self-governing provinces, states, or other regions under a central federal government (federalism). In a federation, the self-governin ...

and later was admitted as a

federal territory A federal territory is an administrative division under the direct and usually exclusive jurisdiction of a federation's national government. A federal territory is a part of a federation, but not a part of any federated state. The states constit ...

. It was declared an international offshore financial centre and

free trade zone A free-trade zone (FTZ) is a class of special economic zone. It is a geographic area where goods may be imported, stored, handled, manufactured, or reconfigured and re- exported under specific customs regulation and generally not subject to cus ...

in 1990.

Geography

Labuan's area comprises the main island (Labuan Island – ) and six other smaller islands, Burung, Daat, Kuraman, Big Rusukan, Small Rusukan and Papan island with a total area of . The islands lie off the coast of Borneo, adjacent to the

Malaysian state The states and federal territories of Malaysia are the principal administrative divisions of Malaysia. Malaysia is a federation of 13 states (''Negeri'') and 3 federal territories (''Wilayah Persekutuan''). States and federal territories Ele ...

and to the north of

Brunei Darussalam Brunei ( , ), formally Brunei Darussalam ( ms, Negara Brunei Darussalam, Jawi: , ), is a country located on the north coast of the island of Borneo in Southeast Asia. Apart from its South China Sea coast, it is completely surrounded by the ...

, on the northern edge of Brunei Bay facing the South China Sea. Labuan Island is mainly flat and undulating; its highest point is

Bukit Kubong Bukit, the Indonesian or Malay word for hill, may refer to: * Bukit Peninsula, area in Bali, Indonesia * Kampong Bukit, village in Tutong District, Brunei {{disambig ...

above sea level Height above mean sea level is a measure of the vertical distance (height, elevation or altitude) of a location in reference to a historic mean sea level taken as a vertical datum. In geodesy, it is formalized as ''orthometric heights''. The comb ...

. Over 70% of the island is still covered with vegetation. The main town area of Victoria is located in a position facing Brunei Bay.

Islands

* Labuan Island * Daat Island * Papan Island * Burung Island *

Kuraman Island Kuraman Island ( ms, Pulau Kuraman), alternative name Keraman Island, is an outlying island in the Federal Territory of Labuan, Malaysia located on the northern mouth of Brunei Bay. It is sparsely populated and is popular with expatriates, dive ...

* Big Rusukan Island (Pulau Rusukan Besar) * Small Rusukan Island (Pulau Rusukan Kecil)

Climate

Labuan has a tropical rainforest climate with no dry season. Over the course of a year, the temperature typically varies from and is rarely below or above . The warm season lasts from 1 April to 13 June with an average daily high temperature above . The hottest day of the year is 29 April, with an average high of and low of . The cold season lasts from 7 January to 17 February with an average daily high temperature below . The coldest day of the year is 8 September, with an average low of and high of . The weather station for Labuan is located at

Labuan Airport Labuan Airport is an airport that serves the federal territory of Labuan in Malaysia. The airport is or by road from Victoria (Labuan Town). It was planned for Labuan Airport to be a regional hub for connecting flights within the Association ...

. Thunderstorms are the most severe precipitation observed in Labuan during 60% of those days with precipitation. They are most likely around October, when they occur very frequently. Meanwhile, the relative humidity for Labuan typically ranges from 63% (mildly humid) to 96% (very humid) over the course of the year, rarely dropping below 53% and reaching as high as 100% (extremely humid).

Government

Labuan is one of the Malaysian federal government territories. The island is administered by the federal government through the Ministry of Federal Territories.

Labuan Corporation Perbadanan Labuan or Labuan Corporation (PL) is a local authority which administrates the Federal Territory of Labuan, Malaysia. This agency is under Ministry of the Federal Territories. PL are responsible for public health and sanitation, waste ...

is the municipal government for the island and is headed by a chairman who is responsible for development and administration of the island. Labuan has one representative in each of the Lower and Upper Houses of

Parliament In modern politics, and history, a parliament is a legislative body of government. Generally, a modern parliament has three functions: Representation (politics), representing the Election#Suffrage, electorate, making laws, and overseeing ...

. Typically, the current member of parliament of Labuan will be appointed to become chairman of Labuan Corporation. The island is represented in the lower house of parliament by MP Datuk Rozman bin Datuk Haji Isli of WARISAN and in the upper house by Senator Bashir Alias of UMNO. Below is the list of administrator of Labuan Corporation from 2001 to current date:

Administrative subdivision

The Federal Territory is administratively subdivided into the capital Bandar Victoria and 27 ''kampung'' (administrative villages), and which are ruled by appointed ''Ketua Kampung'' (headmen): # Bukit Kalam # Durian Tunjung # Tanjung Aru # Pohon Batu # Batu Arang # Patau-Patau 2 # Belukut # Sungai Keling # Sungai Bedaun / Sungai Sembilang # Layang-Layangan # Sungai Labu # Pantai # Gersik / Saguking / Jawa / Parit # Sungai Buton # Kilan / Kilan Pulau Akar # Lajau # Rancha-Rancha # Nagalang / Kerupang # Bebuloh # Sungai Lada # Lubok Temiang # Sungai Bangat # Sungai Miri / Pagar # Patau-Patau 1 # Batu Manikar # Bukit Kuda # Ganggarak / Merinding

Security

Security is the responsibility of the federal government, with naval patrol vessels, a garrison, and an air detachment based on the island. The vigilance of the local Coast Guard and Customs and Excise contribute to the maintenance of Labuan's reputation and status as an international offshore financial centre and free trade zone.

Demographics

Population and religion

Labuan Malaysia Kwang-Fook-Kong-Temple-02

According to Malaysia's Department of Statistics, Labuan's population was 86,908 at the 2010 Census and 95,120 at the 2020 Census. The ethnic composition in 2010 in Labuan was:

Brunei Malay The Brunei Malay language, or Kedayan (, Jawi alphabet, Jawi: ) is the most widely spoken language in Brunei and a lingua franca in some parts of East Malaysia, Sarawak and Sabah, such as Labuan, Limbang, Lawas, Sipitang and Papar.Clynes, A. (20 ...

and

Kedayan The Kedayan (also known as Kadayan, Kadaian or Kadyan) are an ethnic group residing in Brunei, Federal Territory of Labuan, southwest of Sabah, and north of Sarawak on the island of Borneo. According to the Language and Literature Bureau of Br ...

(30,001),

Kadazan-Dusun Kadazan-Dusun (also written as Kadazandusun or Mamasok Kadazan-Dusun) also less-known as "Mamasok Sabah" are two indigenous peoples of Sabah, Malaysia—the ethnic groups Kadazan and Dusun. The Kadazandusun is the largest native group of Bumip ...

including/excluding

Rungus The Momogun Rungus are an ethnic group of Borneo, residing primarily in northern Sabah in the area surrounding Kudat Peninsular, Kota Marudu, Pitas Bengkoka Peninsular and Beluran. A sub-group of the Dayak, they have a distinctive language, ...

(7,380),

Bajau The Sama-Bajau include several Austronesian ethnic groups of Maritime Southeast Asia. The name collectively refers to related people who usually call themselves the Sama or Samah (formally A'a Sama, "Sama people"); or are known by the exonym ...

(6,300),

Murut Murut may refer to: * Murut people The Murut are an indigenous ethnic group, comprising 29 sub-ethnic groups inhabiting the northern inland regions of Borneo. The Murutic languages are a family of half a dozen closely related Austronesian lan ...

and Lun Bawang/Lundayeh (701),

Chinese Chinese can refer to: * Something related to China * Chinese people, people of Chinese nationality, citizenship, and/or ethnicity **''Zhonghua minzu'', the supra-ethnic concept of the Chinese nation ** List of ethnic groups in China, people of ...

(10,014), Indians (641), other ethnic groups (19,727), and non-Malaysian citizens (12,144). The majority of Chinese people in Labuan are from the

Hokkien The Hokkien () variety of Chinese is a Southern Min language native to and originating from the Minnan region, where it is widely spoken in the south-eastern part of Fujian in southeastern mainland China. It is one of the national languages in ...

dialect group (but has been since decreasing due to migration to the

Peninsula A peninsula (; ) is a landform that extends from a mainland and is surrounded by water on most, but not all of its borders. A peninsula is also sometimes defined as a piece of land bordered by water on three of its sides. Peninsulas exist on all ...

as well as overseas); however, there are also many

Hakkas The Hakka (), sometimes also referred to as Hakka Han, or Hakka Chinese, or Hakkas are a Han Chinese subgroup whose ancestral homes are chiefly in the Hakka-speaking provincial areas of Guangdong, Fujian, Jiangxi, Guangxi, Sichuan, Hunan ...

, most of whom are migrants or descendants of migrants from mainland Sabah as well as local-born Hakkas, whom are settled for more than 2 to 3 generations in the island dating as long as the colonial period, in which they came as stopover migrants or traders before embarking to the mainland (even when it was still an only island offshore municipality within

state jurisdiction from 1963 to 1984) as well as a negligible minority of Foochows from neighbouring Sarawak, mostly working as government staff and those posted in the petroleum and gas offshore industries and to a lesser extent a large minority of

Dayaks The Dayak (; older spelling: Dajak) or Dyak or Dayuh are one of the native groups of Borneo. It is a loose term for over 200 riverine and hill-dwelling ethnic groups, located principally in the central and southern interior of Borneo, each w ...

also from Sarawak who are resident here and their local-born descendants whom are mostly ethnically

Iban IBAN or Iban or Ibán may refer to: Banking * International Bank Account Number Ethnology * Iban culture * Iban language * Iban people Given name Cycling * Iban Iriondo (born 1984) * Iban Mayo (born 1977) * Iban Mayoz (born 1981) Football * ...

with pockets of

Bidayuh Bidayuh is the collective name for several indigenous groups found in southern Sarawak, Malaysia and northern West Kalimantan, Indonesia, on the island of Borneo, which are broadly similar in language and culture (see also #Language issues, is ...

and

Orang Ulu Orang Ulu ("people of the interior" in Malay) is an ethnic designation politically coined to group together roughly 27 very small but ethnically diverse tribal groups in northeastern Sarawak, Malaysia with populations ranging from less than 300 p ...

residents. Census the population of Labuan is 76.0%

Muslim Muslims ( ar, المسلمون, , ) are people who adhere to Islam, a monotheistic religion belonging to the Abrahamic tradition. They consider the Quran, the foundational religious text of Islam, to be the verbatim word of the God of Abrah ...

, 12.4% Christian, 9.0%

Buddhist Buddhism ( , ), also known as Buddha Dharma and Dharmavinaya (), is an Indian religion or philosophical tradition based on teachings attributed to the Buddha. It originated in northern India as a -movement in the 5th century BCE, and ...

, 0.4%

Hindu Hindus (; ) are people who religiously adhere to Hinduism.Jeffery D. Long (2007), A Vision for Hinduism, IB Tauris, , pages 35–37 Historically, the term has also been used as a geographical, cultural, and later religious identifier for ...

, 2.1% follower of other religions, and 0.1% non-religious.

Economy

The economy of Labuan thrives on its vast oil and gas resources and international investment and banking services. Labuan is very much an import-export oriented economy. Virtually all of its commodities including

crude oil Petroleum, also known as crude oil, or simply oil, is a naturally occurring yellowish-black liquid mixture of mainly hydrocarbons, and is found in geological formations. The name ''petroleum'' covers both naturally occurring unprocessed crude ...

methanol Methanol (also called methyl alcohol and wood spirit, amongst other names) is an organic chemical and the simplest aliphatic alcohol, with the formula C H3 O H (a methyl group linked to a hydroxyl group, often abbreviated as MeOH). It is a ...

, HBI,

gas Gas is one of the four fundamental states of matter (the others being solid, liquid, and plasma). A pure gas may be made up of individual atoms (e.g. a noble gas like neon), elemental molecules made from one type of atom (e.g. oxygen), or ...

, flour, animal feed, sea products, and ceramic tiles are exported either to Peninsular Malaysia or overseas. Raw materials, parts, and equipments for industrial uses well as consumer products are imported. In 2004, the total value of Labuan's external trade reached MYR11.8 billion from only MYR5.0 billion in 1995 for a net trade surplus of MYR5.1 billion. Among its major trade partners are India, Peninsular Malaysia, Sarawak, and South Korea. 65% of its exports are petroleum and gas-based products. The Gross Domestic Product (GDP) of Labuan is estimated at MYR3.63 billion in 2012 with a growth rate of 5.8 percent. Labuan GDP per capita in 2012 is MYR39,682. The total employment for Labuan is around 39,800 in 2012. The main economic sectors in Labuan is service and manufacturing which contributed 94.6 percent to the island GDP. The service sector consisted mainly of Finance and Insurance and Real Estate and Business Services. Meanwhile, the manufacturing sector consists mainly of oil and gas industry and support. Labuan Malaysia Financial-Park-Complex-01

Labuan Malaysia Financial-Park-Complex-01

The Labuan International Business and Financial Centre

was created as Malaysia's only offshore financial hub in October 1990 and was operating under the name of Labuan International Offshore Financial Centre (IOFC). At the time it was established to strengthen the contribution of financial services to the

Gross National Product The gross national income (GNI), previously known as gross national product (GNP), is the total domestic and foreign output claimed by residents of a country, consisting of gross domestic product (GDP), plus factor incomes earned by foreign ...

(GNP) of Malaysia as well as to develop the island and its surrounding vicinity. The jurisdiction, supervised by the Labuan Offshore Financial Services Authority or LOFSA, offers benefits such as 3% tax on net audited results or a flat rate of Malaysian Ringgit (MYR) 20,000 to trading companies; low operational costs; liberal exchange controls; and a host of other advantages including readily available, experienced and professional service providers. In 2010 the notion "offshore" was excluded from all the statutes of Labuan due to world pressure on the tax havens and offshores. Since its inception, the jurisdiction has expanded to become a base for more than 17,600

offshore companies The term "offshore company" or “offshore corporation” is used in at least two distinct and different ways. An offshore company may be a reference to: * a company, group or sometimes a division thereof, which engages in offshoring business pro ...

and more than 300 licensed financial institutions including world leading banks. The IBFC also has over 370 registered foundations, 100 partnerships, and over 63 licensed trusts. Labuan IBFC is embarking on an aggressive growth strategy to become the premier international business and financial centre in the Asia Pacific region. Labuan's business focus is on five core areas: offshore holding companies, captive insurance, Shariah-compliant Islamic Finance structures, public and private funds, and wealth management. Labuan IBFC's position is further enhanced by the launch of the Malaysian International Islamic Finance Centre initiative in August 2006.

Places of interest

There are several attractions and places of interest on Labuan. The

Labuan War Cemetery Labuan War Cemetery ( ms, Tanah Perkuburan Perang Labuan) is a Commonwealth World War II graveyard in Labuan, Malaysia. The cemetery Many of the personnel buried in this cemetery, including Indian and Australian troops, were killed during th ...

contains various war graves and memorials to the fallen of World War II. This includes British, Australian, Indian, Sarawakian, Bruneian, North Bornean, and Empire troops, making it the largest war grave with 3,908 graves of fallen soldiers. A memorial service is held on Remembrance Day once every four years. There is also a memorial celebrating the surrender of the Japanese to the Australian Forces in 1945. There are also remnants of Labuan's history as a

Royal Navy The Royal Navy (RN) is the United Kingdom's naval warfare force. Although warships were used by English and Scottish kings from the early medieval period, the first major maritime engagements were fought in the Hundred Years' War against F ...

coaling station Fuelling stations, also known as coaling stations, are repositories of fuel (initially coal and later oil) that have been located to service commercial and naval vessels. Today, the term "coaling station" can also refer to coal storage and feedin ...

, including the chimney, a well known local landmark. There is also a

Labuan Maritime Museum The Labuan Maritime Museum is a museum located within the International Sea Sports Complex in Labuan, Malaysia. History The museum was opened in 2003. Architecture The museum is housed in a two-story shell-shaped building. It is divided into 16 ...

. Labuan is also the base for diving on four popular wreck dives: the Cement wreck, the American wreck, (the first USS Salute), the Australian wreck and the Blue Water wreck. Labuan has many schools. However, it has only one international school, Labuan International School. Other places of interest include the Labuan International Sea Sport Complex. Newly proposed is the Marina Centre and Labuan Square project which were completed in 2010. Labuan's own institution of higher education is Universiti Malaysia Sabah Labuan International Campus, a branch of Universiti Malaysia Sabah in Sepanggar Bay,

Kota Kinabalu , image_skyline = , image_caption = From top, left to right, bottom:Kota Kinabalu skyline, Wawasan intersection, Tun Mustapha Tower, Kota Kinabalu Coastal Highway, the Kota Kinabalu City Mosque, the Wism ...

. Labuan also has a matriculation college, Kolej Matrikulasi Labuan, the only

matriculation Matriculation is the formal process of entering a university, or of becoming eligible to enter by fulfilling certain academic requirements such as a matriculation examination. Australia In Australia, the term "matriculation" is seldom used now ...

college in East Malaysia. Thus, all pre-university students from

Sarawak Sarawak (; ) is a States and federal territories of Malaysia, state of Malaysia. The largest among the 13 states, with an area almost equal to that of Peninsular Malaysia, Sarawak is located in northwest Borneo Island, and is bordered by the M ...

and Labuan will take their courses here. File:Labuan-war-cemetery.jpg,

File:Labuan Malaysia Clock-Tower-01.jpg, Replica Clock Tower of 1906 File:Labuan MuziumLabuan.jpg,

Labuan Museum The Labuan Museum ( ms, Muzium Labuan) is a museum located along Jalan Dewan in central Labuan, Malaysia. History The museum building was originally constructed in the 1950s. It was once the administration office of the British North Borneo gov ...

Postage stamps and postal history

A post office was operating in Labuan by 1864, and used a circular date stamp as

postmark A postmark is a postal marking made on an envelope, parcel, postcard or the like, indicating the place, date and time that the item was delivered into the care of a postal service, or sometimes indicating where and when received or in transit. ...

. The postage stamps of

India India, officially the Republic of India (Hindi: ), is a country in South Asia. It is the seventh-largest country by area, the second-most populous country, and the most populous democracy in the world. Bounded by the Indian Ocean on the so ...

and Hong Kong were used on some mail, but they were probably carried there by individuals, instead of being on sale in Labuan. Mail was routed through Singapore. From 1867, Labuan officially used the postage stamps of the Straits Settlements but began issuing its own in May 1879. Although initially the design for the first stamp issue was proposed to be depicting a clump of

sago palm Sago palm is a common name for several plants which are used to produce a starchy food known as sago. Sago palms may be "true palms" in the family Arecaceae, or cycads with a palm-like appearance. Sago produced from cycads must be detoxified before ...

s, for economic reasons, the queen heads design was finally adopted, having been used initially for postage stamps of

Grenada Grenada ( ; Grenadian Creole French: ) is an island country in the West Indies in the Caribbean Sea at the southern end of the Grenadines island chain. Grenada consists of the island of Grenada itself, two smaller islands, Carriacou and Pe ...

. The first stamps of Labuan therefore depict the usual profile of

Queen Victoria Victoria (Alexandrina Victoria; 24 May 1819 – 22 January 1901) was Queen of the United Kingdom of Great Britain and Ireland from 20 June 1837 until Death and state funeral of Queen Victoria, her death in 1901. Her reign of 63 years and 21 ...

but are unusual for being inscribed in Malay-Arabic ( Jawi) and Chinese scripts in addition to "LABUAN POSTAGE". Perennial shortages necessitated a variety of surcharges in between the several reprints and colour changes of the 1880s. The original stamps were engraved, but the last of the design, in April 1894, were done by

lithography Lithography () is a planographic method of printing originally based on the immiscibility of oil and water. The printing is from a stone (lithographic limestone) or a metal plate with a smooth surface. It was invented in 1796 by the German a ...

. Beginning in May 1894, the stamps of North Borneo were overprinted "LABUAN". On 24 September 1896, the 50th anniversary of the cession was marked by overprinting "1846 / JUBILEE / 1896" on North Borneo stamps. Additional overprints appeared through the 1890s. In 1899 many types were surcharged with a value of 4 cents. The last Labuan-only design came out in 1902, depicting a crown and inscribed "LABUAN COLONY". After incorporation into the Straits Settlements in 1906, Labuan ceased issuing its own stamps, although they remained valid for some time. Many of the remainder were cancelled-to-order for sale to collectors and are now worth only pennies; genuine franked/post used stamps are worth much more.

Federal Parliament Seats

List of Labuan representatives in the Federal Parliament (Dewan Rakyat)

Notable residents

* Ayu Mansor - actor, radio announcer *

Hassan Sani Hassan Sani (born 31 August 1958) is a former Malaysian football player. Career Overview He played for Sabah and Kuala Lumpur in the Malaysian League and Malaysia Cup in the late 1970s and in the 1980s. Hassan start representing Malaysia i ...

, Malaysian and Sabah football player *

Kelvin Teo Kelvin Teo () is a management consultant whose first success was a million dollar business venture at the age of 20 while still in university. At age 27, he won Malaysia's first wedding related reality show, Love Me Do. He also co-founded EasyEc ...

, young entrepreneur and season 1 winner of reality show ''Love Me Do'' * Karen Kong, Hong Kong-based Malaysian pop singer * Suresh Singh, right-hand bowler who plays for the Malaysian cricket national team * Yussof Mahal, politician from

Barisan National The National Front ( ms, Barisan Nasional; abbrev: BN) is a political coalition of Malaysia that was founded in 1973 as a coalition of centre-right and right-wing political parties. It is also the third largest political coalition with 30 s ...

party and former Member of Parliament for Labuan

Notes

References

External links

Labuan
– Travel information
Labuan Corporation

Labuan Tourism

Labuan International Business and Financial Centre, Malaysia
{{Authority control Federal Territories in Malaysia Islands of Malaysia Islands of the South China Sea History of North Borneo British Borneo History of Sabah Philately of Malaysia Maritime Southeast Asia