Malaysia Signs Deal with Singapore for Special Economic Zone
Malaysia: Malaysia announced it is close to finalizing a deal with Singapore to develop Southeast Asia’s first cross-border special economic zone, aimed at attracting new investment and stimulating growth. The two countries signed a memorandum in January 2024 to establish the economic zone, facilitating the free movement of goods and people between Johor, a resource-rich state, and Singapore, which has limited land. Johor’s Onn Hafiz had previously proposed that the economic zone cover a vast area of 3,505 square kilometers, making it larger than Shenzhen, the special economic zone adjacent to Hong Kong. The Johor-Singapore Special Economic Zone would encompass 16 sectors, including electrical and electronics, manufacturing, and healthcare. Additionally, Johor is expected to benefit significantly from a proposed high-speed rail between Kuala Lumpur and Singapore, with the Malaysian government currently evaluating proposals from several private groups for the project.
Source: Ministry of Economy