Theme park operators urge policy reform as rising taxes erode competitiveness

Theme park operators urge policy reform as rising taxes erode competitiveness

The Star Online - Business·2026-04-24 19:00

KUALA LUMPUR: Themepark operators are pleading for help from the government as the sector is at risk of losing its competitive edge over its regional peers, claims the Malaysian Association of Theme Parks and Family Attractions (MATFA).

Its president Tan Sri Richard Koh said operators in Thailand, Singapore and Indonesia have the advantage during this challenging period with the backing of their respective governments.

"They (other countries) have moved ahead with the support from their governments.  "In Thailand and Singapore, there's no entertainment tax being imposed on themeparks as they're considered family recreational places. There are only sin tax for gambling outlets, bars, and nightclubs.  "Even in Indonesia, the authorities have reviewed its system. They have one tax rate for the whole country unlike here where there are different rates being imposed by each state.

"For arcades, operators there need only to apply for one licence for the whole premises. Here, we need to have a licence for each machine," he said during the MATFA annual general meeting in Kuala Lumpur on April 24, 2026.

Koh said MATFA understood the Government’s fiscal needs and challenges during this challenging time but the obstacles facing the industry players should not be overlooked.

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