KUALA LUMPUR, June 4 — The Penang state government is banking on shared historical and cultural ties to attract Singaporean investment and tourists.

Penang chief minister Lim Guan Eng (picture) said that the state was the first to establish investment and tourism offices overseas and Singapore was the most appropriate first destination.

“Singapore is the most appropriate choice for Penang’s first venture overseas not just for its importance in terms of investments and tourism but also our shared history and cultural links,” said Lim at the opening of the Penang Investment Tourism Office (PITO) in Singapore today.

Lim said that Singapore is the second largest foreign investor in Penang, and contributes 13.4 per cent of the foreign investments.

Singaporeans also make up almost half the number of tourists visiting Penang.

Lim added that Penang offers Singaporeans a “nostalgic glimpse” of a common past and a taste of the rich cultural diversity.

“Come to George Town so that you can see, touch and feel its distinctive character and soul that makes it a Unesco World Heritage site,” he urged Singaporeans.

Lim added that Penang constituted two thirds of Malaysia’s exports and is targeting RM4.2 billion in investment this year.

Among companies cited by Lim as expanding operations in Penang included Osram and B Braun which spent Euro 100 million (RM397 million).

Lim said that tourism, medical tourism, education and heritage are the “green fields” of growth for Penang and that his administration is trying to make Penang a more appealing investment destination with governance centred on competency, accountability and transparency.

Penang is targeting 10 million tourists by 2014.  There are currently 68 flights between Penang and Singapore and the Transport Ministry has given approval for up to 84 flights.