KUALA LUMPUR, Jan 11 — Minister of Investment, Industry and Trade Datuk Seri Tunku Zafrul Aziz said today that Malaysia continues to consider Singapore as its most important trading partner and that neighboring Singapore will receive special economic benefits this year. It said it had signed a milestone agreement to develop the SEZ. morning.
Tunku Zafrul said Malaysia has seen an increase in Singapore’s rent and real estate prices in recent months as more multinational companies are forced to leave Singapore and relocate across the Strait to Johor Bahru, where land and rent are much cheaper. He said the company is taking advantage of rising costs.
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The move was an example of how interdependent Southeast Asia’s two economies are, he said.
“I strongly believe that what is happening in Singapore is benefiting Malaysia. If you look at the data centers and all the headquarters, they are not operating in Malaysia because of various other cost factors. We are building… This is an example of the strong relationship between our two countries.
“This will ease the movement of people as well as goods and services,” he told CNBC in a recent interview.
Malaysia and Singapore today agreed to jointly develop an SEZ in Johor state in southern Malaysia.
According to Malaysia’s Ministry of Economic Affairs and Singapore’s Ministry of Trade and Industry, the two neighboring countries will work to enhance cross-border flows of goods and people, as well as strengthen the business ecosystem within the SEZ and support investment.
The move comes as Prime Minister Datuk Seri Anwar Ibrahim has pledged to strengthen ties with Singapore as part of a diplomatic pivot that marks a significant departure from Putrajaya’s past policies towards its sometimes hostile neighbor to the south. It was conducted.
Mr. Anwar and Singapore’s Mr. Lee Hsien Loong both attended the signing of the SEZ MoU.
Mr Anwar and Mr Lee then graced a ceremony to celebrate the installation of the Rapid Transit System Link (RTS Link) section connecting Johor Bahru and Singapore across the Strait. This is the first time that the two leaders have met at a project site.
Prime Minister Putrajaya said the ceremony reflected the commitment of both countries to realize the multi-billion ringgit project to link Bukit Chagar in Johor Bahru to Woodlands North in Singapore by a four-kilometre-long railway.
Today’s ceremony was also attended by Transport Minister Anthony Loke, Singapore’s Acting Transport Minister Chee Hong Tat, and Johor Menteri Besar Datuk Ong Hafiz Ghazi.