Johor-Singapore special economic zone agreement signed at leaders’ retreat

The new Johor-Singapore Special Economic Zone (JS-SEZ) is not just about enabling Singapore businesses to go to Johor, but rather it is the zone’s “greater potential” in having both countries work together to attract new investment projects globally, said Prime Minister Lawrence Wong on Tuesday (7 Jan).

“It’s an important project which will build on the complementary strengths of Singapore and Johor, so that we can both be more competitive, enhance our vendor proposition, and jointly extract more investments to our shores,” he said at a press conference alongside Malaysian Prime Minister Anwar Ibrahim, after the 11th Malaysia-Singapore Leaders’ Retreat in Putrajaya.

The JS-SEZ will also create good jobs for both Singaporeans and Malaysians, PM Wong added.

The agreement to establish the zone was signed on Monday (6 Jan), and the two leaders witnessed the exchange of the pact on Tuesday. The SEZ covers an area of more than 3,500 square kilometres, roughly four times the size of Singapore.

Said PM Anwar: “I look forward to working well with Prime Minister Lawrence Wong on this, on how else we can help and work to not only ensure the success of Johor (and) Malaysia, but also Singapore and jointly in the region.”

When negotiating the agreement, both parties actively engaged stakeholders to ensure the JS-SEZ has “the conditions to help our businesses grow together for the longer term”, said PM Wong.

“We are confident about the SEZ and look forward to taking it forward,” he said.
 

 Broad cooperation

Earlier at the press conference, the two prime ministers said they discussed outstanding bilateral issues, including airspace, water, and maritime delineation.

For instance, on maritime cooperation, PM Anwar noted that the concerns have been around for some time, “but at least there’s clear commitment and progress”.

Discussions on the issues were good, said PM Wong, but while some progress has been made, both sides are not ready to resolve all of them yet due to their complexity.

“And while we would like the resolution to be expeditious, I think it’s also important that we give time for the officials to move, talk to one another, understand each other’s positions, and come up with an agreement and an outcome that is durable and that is beneficial for both sides,” he said.
 

The leaders were also asked if they discussed how to bolster economic resilience bilaterally and within ASEAN.

PM Wong said Singapore hopes the bilateral relationship between Singapore and Malaysia can provide an important foundation and the building blocks for a stronger ASEAN.

This can be advanced through Malaysia’s chairmanship of ASEAN in 2025, which he said Singapore “fully supports”.

Amid the ongoing geopolitical tensions, ASEAN must strengthen itself as a regional force to withstand pressures from other groups or regions, said PM Anwar.
 

Source: The Business Times © SPH Media Limited. Permission required for reproduction.