Labuan

Labuan is a federal territory of Malaysia. It comprises one large and six smaller islands in off the coast of Sabah in Malaysia.

Islands

 * Pulau Labuan - the main island
 * Pulau Daat
 * Pulau Burung
 * Pulau Kuraman
 * Pulau Papan
 * Pulau Rusukan Besar
 * Pulau Rusukan Kecil

Cities
Labuan is an island with an estimated population of 100,000 people. It's quite a close community where everyone knows everyone. The main town is known as Labuan Town (Bandar Labuan in Malay) but was known as Victoria during the colonial era. Labuan Town is among the cleanest towns in Malaysia and has been called "the Pearl of Borneo". Labuan was proclaimed a Federal Territory in 1984 and declared an International Offshore Financial Centre in 1990.

The major businesses on the island include international offshore banking, steel mills, a methanol plant, floor tiles production, flour mills, and offshore supplies. Because of these major businesses, Labuan has many non-Labuan natives that work here.

Geography
Federal Territory of Labuan is located off the northwest coast of Borneo, north of Brunei Bay, and faces the South China Sea. It comprises the main island of Pulau Labuan and six smaller islands: Pulau Kuraman, Pulau Daat, Pulau Rusukan Besar, Pulau Rusukan Kecil, Pulau Papan and Pulau Burong. It is located at 05 latitude North and 115 longitude East, and lies approximately 10 km southeast off the coast of the East Malaysian state of Sabah and 25 km north of Brunei. The Federal Territory of Labuan covers an area of 92 km2 and the main island of Labuan is 75 km2. The island is mainly flat and undulating and the highest point is only 85 m.

Economy
More than 70 percent of the island is still under vegetation. Due to the fact that land utility is geared more towards property and industrial use, there is less agricultural activity in the area. Most of the island's prime land, waterfront and suburbs are used for residential and tourism development. A sizeable area on the southwestern side of the island is used by shipbuilding, manufacturing and oil and gas industries.

Climate
Labuan has a tropical climate with two annual monsoon seasons - the South West monsoon from April to June and the North East monsoon from September to December. It is free from hurricanes and typhoons and enjoys good climate all year round. Daily temperatures average 28-32°C.

History
The island's name came from Brunei Malay word "labohan" which means anchorage. Labuan had a glorious history under the rule of various empires. After the demise of the Majapahit Empire in the 14th century, Labuan came under the rule of the Brunei Sultanate. On 24 December 1846, Captain G.R. Mundy, commanding H.M.S. Iris, took possession of Labuan, "In the Name of Her Majesty Victoria Queen of Great Britain and Ireland under the Direction of His Excellency Rear Admiral Sir Thomas Cochrane, C.B., Commander-in-Chief".

The British had negotiated with the Sultanate of Brunei for Labuan among other things. By 1847 the British government concluded a Treaty of Friendship and Commerce with the Sultan of Brunei, at the same time acquiring the island of Labuan. On 1 August 1848, Labuan was declared a free port and open to settlers. The Colonial Office took over Labuan in January 1906. In 1907 it became part of the Straits Settlements, a British colony comprising Singapore, Penang and Malacca.

During World War II, Labuan was occupied by the Japanese, along with other parts of what was then called British North Borneo (now Sabah). Thousands of Allied troops died in the fighting and eventual defeat of the Japanese in Labuan.

In 1963, Sabah joined the Federation of Malaysia, with Labuan included as a district of Sabah. In the 1984 Labuan Agreement, Sabah agreed to cede Labuan to the Federal Government of Malaysia. Labuan became a Federal Territory, with a status equivalent to that of the states of Malaysia.

Tourist information
There are at least two information offices on the island: one is at the international arrivals hall in Labuan ferry terminal, second - in front of Labuan Muzium.

Talk
English and Malay are widely spoken. Because of the influence of the Brunei Sultanate centuries ago, the majority of local Malays speak the Brunei-Kadayan Malay dialect, which is significantly different from standard Malay. This mixture of Brunei and Kadayan dialects is sometimes called Labuan Malay Dialect. However most of the population can speak standard Malay whenever necessary. Major Chinese dialects (especially Hakka) are spoken among the Chinese community.

By boat
You can arrive in Labuan by ferry from Brunei, Lawas, Limbang, Sipitang and Menumbok, where a vehicular ferry operates. Labuan is the usual port for changing boats for those getting from Kota Kinabalu to Brunei in a day by sea, see the Kota Kinabalu to Brunei by land page for details.
 * From Brunei: Two ferries daily run between Labuan and the Serasa Ferry Terminal in Muara, Brunei. The journey takes about two hours, RM38 (2016) or B$25 (2023).
 * From Kota Kinabalu: Since the COVID pandemic, there is no direct boat connection to or from Kota Kinabalu anymore (April 2023). Reach the mainland at Menumbok instead and take a bus there.
 * From Limbang: Two trips daily, departing Limbang at 7:30AM and 8AM and Labuan at 12:30PM and 2PM.
 * From Sipitang: Two ferries daily, departing Sipitang at 9AM and 10AM and Labuan at 9AM and 1PM.
 * From Menumbok: An alternative way to visit Labuan from Kota Kinabalu. Buses will leave at 6:40AM, 7:30AM, etc., from Kota Kinabalu (RM15) and reach Menumbok in 2-2½ hours. The bus stop and ferry jetty in Menumbok are on the same street. Speed boat will depart when it is full. It takes 20 minutes and costs RM15. There are at least two Menumbok Express trips daily to Labuan, which will take 40 min.

Get around
Labuan Town is small enough to be comfortably explored on foot. The town is one of the most pedestrian friendly towns in Malaysia. You should not encounter any problems as most of the drivers here drive their vehicle in "slow motion". Most of the drivers will give priority to pedestrians that want to cross the street, something generally unheard-of in the rest of Malaysia! However, daytime temperatures maybe slightly higher than other parts of Malaysia.

For further destinations, bus services are available; some are vans which the locals refer to as 'buses'. Bus services end at 7PM everyday. Below are some bus routes that may be of interest. One-way bus journeys will cost a minimum of RM1 and not more than RM3.


 * Bus No. 3 (Yellow) to Labuan Hospital, Sports Complex, Sungai Bedaun, Bebuloh, Kiamsam.
 * Bus No. 4 (Red) to Labuan Hospital, Layang-layangan Beach, Peace Park, Surrender Point, Sungai Labu Homestay, Sungai Lada, Sekolah Menengah Sains Labuan and Universiti Malaysia Sabah-Labuan International Campus.
 * Bus No. 5 (Pink) to Kerupang, Tanjung Aru and Labuan's most famous seafood restaurants of Anjung Ketam and Terumbu Warisan, and Bukit Kuda Homestay.
 * Bus No. 6 (Green) to Lajau, Labuan Matriculation College, The Chimney, Bird Park, Manikar Beach Resort, Batu Manikar Beach and Pancur Hitam Beach.

Taxis are also available mainly in the town center. However, usually you may need to go to the taxi station to catch one. Do agree on the fare first before you board, since no taxis in Labuan use meters. Taxi stations can be found at:


 * Ujana Kewangan (Financial Park)
 * Labuan International Ferry Terminal
 * Parking area in front of Labuan Supermarket
 * Labuan Airport

Otherwise, you may call Sri Ganti Taxi Service (24 hours) at 013-8838 882 or 019-8408 228.

There is another way of getting around - renting a scooter, cost is as low as RM38 per 24 hr, and you can find rental places at the ferry terminal. Renting a bicycle is another option, can be found also at the ferry terminal.

See

 * World War II sites - Pulau Labuan is a significant historical destination particularly from the time of World War II. The Labuan War Cemetery, Allied Landing Point and Japanese Surrender Park are three major World War II sites attracting foreign and local visitors. A "Remembrance Day" is held every November at the Labuan War Cemetery to honour the 3,900 recorded graves of Fallen Heroes of World War II. This event is attended by Malaysian and foreign war veterans and family members of the Allied soldiers killed in action during the war between 1942 and 1945.





Do

 * Sport fishing - Pulau Labuan is surrounded by six smaller islands namely Pulau Kuraman, Pulau Daat, Pulau Rusukan Besar, Pulau Rusukan Kecil, Pulau Papan and Pulau Burong. The blue clear water around these idyllic islands is home to one of the world's richest coral and fishing grounds which offers unlimited deep sea tackling and coastal table-fish catches.
 * Labuan also hosts the International Sea Challenge in May every year which comprises four events - the Underwater Treasure Hunt, Jet Sport Challenge, Cross Channel Swim Challenge and Big Game Fishing Tournament.
 * Wreck diving - Pulau Labuan has one of the best wreck diving sites in Asia. There are four wreck sites on the island's locally known as the Australian Wreck. The Australian Wreck provides a very atmospheric dive thanks to the combination of the less than 10m visibility, rich coral growth, the skeletal remains of the ship, her tragic end and a reputation to be haunted. The American Wreck has a rich and tragic history, having been capsized during the World War II era with the loss of 9 lives. This journey back in time is complete with the sightings of bullet clips, depth chargers, wire bottles and canon artifacts still intact. Cement Wreck. The shallowest wreck in Labuan with its super structure rising to 19 m and the way it sits makes it the easiest to pass through and great for wreck diving training for beginners. The Cement Wreck also offers rare whale shark sightings to lucky divers. Blue Water Wreck, also known as Mabini Padre, is a large Philippines fishing trawler, which caught fire and sank in 1981. The completely intact vessel with masts lies on its side and is enhanced by an abundance of marine life. However, there are no diving operators in Labuan, and one has to organize a trip from Brunei or Sabah.
 * Beaches - As the Pearl of South China Sea, it has beautiful stretches of beaches. The famous ones are Batu Manikar, Pancur Hitam and Layang-layangan beach where the locals hang out and have a BBQ picnic during the weekend. These beaches won the United Nation COBSEA Clean Beach Award 2008. The award is well deserved as every morning Labuan Corporation workers can be seen hard at work cleaning the beach from any rubbish and debris.

Buy
Duty-free shopping - Labuan's modern shopping centres carry a wide range of locally produced and imported goods. Most popular are spirits and tobacco, textiles and appliances. Every end of the year, the island hosts a month-long shopping carnival with attractive discounts. Cultural shows add to the excitement

International Offshore Financial Centre - Pulau Labuan is Asia's newest international offshore financial centre. The 65 foreign banks operating on the island offer sophisticated offshore banking services and numbered accounts facilities to the world's rich and famous.

Although it's a duty-free island, the things here are not that cheap. However, the followed items should be cheaper than other places:
 * Pearl & crystals - Made into jewelleries like brooch, bracelets, pendants, earrings, and baju Melayu buttons. Bazaar Labuan is a good place to shop for them.
 * Cars - Especially imported ones. But, they are subjected to taxes when transported out of the island.
 * Chocolate - Lots of choices too, that hard to be found in Peninsular.
 * Cigarette - The price is half of the Peninsula's, but the flavor is not that desirable to some smokers.
 * Alcohol
 * Batik sarongs (RM10 is reasonable and normal price in Malaysia, if more than that, you shouldn't buy it!)
 * Seafood - Wet Market near Bazaar Labuan is a recommended place. You can even ask the sellers to pack the items frozen-ready for flights. Recommended place to buy frozen ready seafood is SBS Seafood Sdn. Bhd in the center of Labuan town. Just ask a local or taxi driver, they can show you where is the shop. Recommended to buy - frozen fish coated with flour which is RM14 per bag, deep-fried it; very crunchy and boneless fish!

Things that are really exorbitant here:
 * Computer stuff - sometimes almost double the Peninsula's.
 * Electronics

Eat
All food, especially fresh seafood, is extremely well priced. But if you get the locals as a guide, they can show you some cheaper alternatives instead.
 * The most famous local dessert is "Coconut Pudding", which you wouldn't be able to find in anywhere else. Good coconut puddings can be found in Pulau Labuan Restaurant with RM6 each.
 * BBQ chicken wings are a Labuan delicacy. They are cooked on skewers over smoky charcoal and wood barbeques. 6 chicken wings for RM9. The one of the best are sold at Kampung Sungai Keling, opposite Taman Sintee. Just a roadside stall.
 * You may also want to try various local kuih - pastries or cakes - in the weekend market known locally as Pasar Tani (Saturday and Sunday) from morning till afternoon. Try kelupis and lamban (a food made from pulut rice and coconut milk that been wrapped by either coconut leaves for lamban or nyirik leaf for kelupis), jelurut (a sweet and creamy colored local kuih wrapped with nipah or coconut leaf) and batik cake.
 * Another common local food in Labuan is punjung. Made from rice flour, they are little cone-sized desserts with green jelly-like fillings wrapped in banana leaves. Don't forget to try pulut panggang, made from glutinous rice and dried shrimp. This pulut panggang then wrapped by banana leaves and grilled.
 * Mawilla Seafood Restaurant is one of the best restaurants in Labuan that serves seafood delicacies - fresh fish (which you can choose), prawn, lobster and squids. Try the Butter Milk Prawn and Nestum Prawn menu. Located at the sea shore of Labuan, near to Labuan International Sea Sport Complex and Labuan Waterfront Hotel. The price is reasonable. However, this famous restaurant can't fight the super famous Anjung Ketam in term of taste. Tel +60 87 422 125.
 * Island Tomyam. A Thai and Malay style restaurant. Located at Kampung Batu Arang. Not far from Labuan Airport. Reasonable price. A very basic dinner may cost you less than RM10 per person. 5PM-12:30AM daily.
 * Kedai Kopi Ceria behind Labuan Corporation Tower (Public Library) at the town center. Famous for its Soto Labuan. You may want to come there before or during lunch hour otherwise the extra-famous soto will be 'out of stock'.
 * Raff Restaurant. A nice Sarawak Malay restaurant located near to Chinese temple at Labuan Town.
 * Jalan Ujong Pasir. There are several Malay and Chinese restaurants in this area, and a fast food restaurant, Chicken King. Also known by local as Utama Jaya area.
 * Fratini's Restaurant. The one and only restaurant in the island that serves Italian cuisine. Located next to Tabung Haji building at the town centre. Famous for its pasta and pizza.
 * Raff Restaurant. A nice Sarawak Malay restaurant located near to Chinese temple at Labuan Town.
 * Jalan Ujong Pasir. There are several Malay and Chinese restaurants in this area, and a fast food restaurant, Chicken King. Also known by local as Utama Jaya area.
 * Fratini's Restaurant. The one and only restaurant in the island that serves Italian cuisine. Located next to Tabung Haji building at the town centre. Famous for its pasta and pizza.
 * Fratini's Restaurant. The one and only restaurant in the island that serves Italian cuisine. Located next to Tabung Haji building at the town centre. Famous for its pasta and pizza.
 * Fratini's Restaurant. The one and only restaurant in the island that serves Italian cuisine. Located next to Tabung Haji building at the town centre. Famous for its pasta and pizza.
 * Fratini's Restaurant. The one and only restaurant in the island that serves Italian cuisine. Located next to Tabung Haji building at the town centre. Famous for its pasta and pizza.

Drink
Labuan is well known for its duty-free especially alcohols. The main entertainment in Labuan is its night clubs and lounges. Although the majority of bars in Labuan are actually for prostitution, there a few that are not.

Some of the famous places where people go:
 * Some Place Else (SPE) at the Grand Dorsett Hotel
 * Kings KTV
 * Strawberry KTV
 * Crossroads
 * Beyond 2000 - one of the few bars in town that doesn't hire prostitutes
 * Blue Wave
 * Lido Cafe (Hotel Aifa)

Stay safe
Labuan is full of prostitutes. Additionally, sex slavery is a very real issue in Malaysia, particularly Labuan. Steer clear of the karaoke bars and pool halls, especially if you value your sexual health.

Labuan is a very safe town. It is a very peaceful place and the people are very nice and friendly. Except road blocks with JPJ (local Department Motor Vehicle), police presence is pretty hard to notice, possibly because of the calmness and peace of the town.

You can notice lots of people jogging around in the evenings, even in the secluded roads in the hills, without the fear of being mugged that they might have in other big cities.

Crime rate is very low, except once in a while, there used to be physical arguments between the immigrants, but only among themselves.

Roads are not busy, except occasionally in town. The driving attitude of people here is quite leisurely​, so it's common to have a car cruising in front of you very, very slowly without any purpose. There are lots of jaywalkers, and pedestrians crossing the road don't practice much caution. Several attractions such as Peace Park and Anjung Ketam are located in village areas where children usually play near or at the road. Be careful if you're driving.

Go next
Sabah, Brunei, and Sarawak are logical places to go next (see above for information on ferry service).