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The history of Terengganu sultanate began since early 18th century. Tun Zainal Abidin Paduka Maharaja, titled as  Sultan Zainal Abidin I(1725 – 1733) was crowned to be  the first Sultan of Terengganu. The continuous  governance of Terengganu Sultanate prosperity has brought  peaceful and development  in Kuala Terengganu as state capital after Kuala Berang and other districts. Infrastructure development process has been started during the reign of the ninth Terengganu Sultan that was Sultan Umar (1839). A few roads were built in Kuala Terengganu and the routes still existed until today. Sultan Umar died in 1876. The tenth Terengganu Sultan was Sultan Ahmad Shah II. His highness ruled for 6 years and died in 1881. Terengganu throne was inherited by his prince, Tengku Zainal Abidin, who was crowned with the titled of Sultan Zainal Abidin III. It was said that Terengganu had experienced a rapid development under his reign. The population has increased rapidly  and the state was then divided into 13 districts. At that point of time Terengganu Government also had it’s own currency called ‘kepeng’ and ‘pitis’ The money was made of tin in round and flat shape. Tax was also imposed on the people during that time. The tax was called ‘banci’ and ‘serah’ – also mentioned as head tax.

Sources from the historical notes  also shown and proved that trading activities were active with the inclusion  of outside traders  who used the river starting  from ‘kuala’/estuary of Terengganu River until  Kuala Berang. Those traders marketed their products in Kuala Terengganu. The places they used as trading areas were around Kedai Hilir, Kedai Payang and Kampung Cina.

The strategic position of Kuala Terengganu town previously  until now whereby it is  an estuary for two main rivers, Terengganu River and Nerus River. The wide estuary known as the Gulf of Heritage is perfectly  strategic and beautiful.

Pulau Duyung which is located in front of the estuary together with a few other islands including Pulau Wan Man, Pulau Sekati and Pulau Duyung Kecil are complementary to the beauty of Kuala Terengganu town.