PENANG, July 27 (Bernama) -- The concept and development of the Northern Corridor Economic Region (NCER) will also bring benefits to southern Thailand and Sumatra in Indonesia, Penang Chief Minister Tan Sri Dr Koh Tsu Koon said tonight.

The spillover effects of the economic momentum to be generated by NCER, which encompasses Kedah, Perlis, Penang and Perak, are bound to be felt in both neighbouring regions within a short period, he added.

Addressing the 62nd anniversary dinner of the Penang Importers and Exporters Association here, he raised the possibility that the positive economic impact could even help stabilise the political situation in southern Thailand.

According to Dr Koh, the NCER will turn Penang into a vital logistics hub besides becoming a major import-export centre for the northern region as the industrial sector steps up its pace.

"About 40 million people in the NCER, southern Thailand and Sumatra will benefit from the intensive economic development over five to 10 years after the NCER is implemented," he added.

In view of this, he urged the business community in Penang to fully support the NCER and work together to reap the prosperity that the NCER promises.