26-3-2024 (KUALA LUMPUR) Malaysia’s tightening grip on international concerts saw the Southeast Asian nation miss out on over RM1billion (S$285 million) in potential tourism revenues in 2023, experts estimate, as more shows fell victim to stringent government rules and protests from religious hardliners.
Four major concerts were scrapped last year according to official figures, double the two that were denied permits in 2022. Those shut out included planned shows by renowned Indian singer Karthik and the Pinkfish Live arts and music festival featuring American rapper Lil Pump.
An industry insider claimed US singer-songwriter Lauv’s proposed Malaysian tour dates in September also got axed amid heightened political scrutiny on live events, driven by opposition from Islamic conservatives railing against foreign performers.
“Onerous regulations” strangling the entertainment sector cost over RM1billion (S$285million) in lost music tourism income last year, according to Professor Geoffrey Williams, an economist at Malaysia University of Science and Technology. “They create risk and make it more difficult for event organisers to put on shows,” he told journalists.
Had those missed gigs gone ahead, receipts from entertainment tourism covering all ticketed live events could have been at least 30% higher than the RM2.4 billion generated in 2023, the Arts, Live Festival and Events Association (Alife) estimates.
Concertgoers flying in from overseas alone pumped over RM800 million into Malaysia’s tourism coffers last year, contributing around RM83million in tax revenues, the live events body said.
“We are very much below our potential. 2023 was the biggest year of concerts globally, but we lost out on hundreds of millions due to our poor reputation affected by protests and strict regulations,” lamented Alife president Rizal Kamal.
Global box office revenues from the top 100 tours soared to a record S$12.3 billion in 2023 according to industry magazine Pollstar.
With regional rival Singapore hosting US pop superstar Taylor Swift’s sold-out six-date Southest Asia stint in March, pulling over 300,000 fans from across the region, experts now say Malaysia urgently needs stronger political will to boost its allure for international touring acts.
Tourism authorities estimated the economic impact from Swift’s Singapore shows alone reached between $350million-$500 million.
“Malaysia is a jewel in Southeast Asia. We have the largest stadium in the region – the Bukit Jalil National Stadium – and we’re cheaper for tourists than Singapore and Indonesia on food, hotels and transport,” said Nur Jasni Mohd, founder of sports and events consultancy SportsWorks Group.
“We enjoy 30% lower production costs than Singapore, so this is a good time to push for an overall nation-building plan that includes concert economics,” Jasni added.
While Coldplay’s November gig at Kuala Lumpur’s Bukit Jalil drew the band’s biggest ever single-night crowd of over 81,000 – worth around RM51.9million at the box office – the youth wing of opposition Islamic party PAS had pushed for it to be scrapped, claiming the British rockers promote “deviant cultures”.
The show went ahead after a backlash from moderate Muslims online and Prime Minister Anwar Ibrahim defending Coldplay over its support for Palestinians.
Yet rather than encouraging international artists, Anwar’s government has actually doubled down with more red tape shackling the entertainment industry, political analysts say, as part of efforts to shore up flagging Malay Muslim support by appeasing conservative voters.
Under pressure from hardline PAS, Singaporean comedian Kumar performed one show in Labuan exclusively for non-Muslims after previously playing to all audiences, albeit not in full drag.
In August, PAS – parliament’s largest opposition bloc – threatened nationwide protests if all upcoming international shows that year weren’t cancelled over claims they promote “hedonism and perversion”. Threatened street rallies never materialized.
New guidelines introduced in March barred cross-dressing for foreign male performers according to local media, adding to existing bans on female artists wearing revealing or tight outfits.
Authorities also unveiled a “kill switch” last October to cut power and halt gigs breaking rules after an onstage same-sex kiss at a British band’s July show in Sepang.
“Political calculations in Malaysia carry greater weight than any economic considerations, as more average Malaysians today are socially conscious of their religious identities,” said Halmie Azrie Abdul Halim, senior analyst at political risk firm Vriens and Partners.
“The politicians in the government are not nipping these conservative voices in the bud, even though it affects an estimated 100,000 people in the industry. We see that the government does not protect us, and civil servants are scared to give approvals for concerts,” added Iqbal Ameer, founder and CEO of Livescape Group which runs shows across Southeast Asia.
The actual number of nixed concerts exceeds official tallies as many organisers can’t clear initial approval hurdles, according to Ameer. Singapore’s green-lighting process takes 48 hours versus three months in Malaysia, he said.
Financial losses from uncertainty also deter Malaysian promoters. Event firm ElementX Strategies prefers safer exhibition and seminar work over concerts.
“Organisers fork out a down payment to bring in foreign artistes and risk losing millions of ringgit if [authorities] decide to cancel the concert,” said CEO Jason Yap.
Industry players contrast Malaysia’s approach with more relaxed rules in Muslim-majority neighbour Indonesia, which is hosting a show by US metal veterans Lamb Of God next month – a band banned in Malaysia in 2013.
“We have to correct the perception about our country to build the live entertainment industry,” insisted Para Rajagopal of PR Worldwide which has brought major acts like Coldplay and K-pop titans Blackpink to Malaysia in recent years.
“A wrong perception has been created by politically motivated parties, making it appear as if Malaysia is not a thriving market in concerts, compared with other countries in the region.”
