Leaders Announce Plans for Greater Economic Cooperation between Malaysia and Singapore
In a significant development, Malaysia and Singapore have confirmed their plans to sign a memorandum of understanding (MOU) for the Johor-Singapore Special Economic Zone (SEZ) by January 2024. This announcement was made during the 10th Singapore-Malaysia Leaders’ Retreat, attended by Prime Ministers Anwar Ibrahim and Lee Hsien Loong on October 30, 2023. The SEZ aims to enhance cross-border goods and people flows between the two nations, improving economic ties and facilitating special tax arrangements and bonded warehouses for businesses.
Both leaders emphasized the importance of accelerating the process to sign the MOU by January 11, 2024, following extensive discussions about investor interest and market demand. The SEZ is expected to support the Iskandar Malaysia development region and attract more investment into both countries, especially in areas such as the digital and green economies.
The two leaders also signed several other MOUs, including one to strengthen cooperation between small and medium enterprises (SMEs) and another to update the Malaysia-Singapore Business Development Fund, which will support joint ventures in third-party countries. They also highlighted ongoing efforts to improve connectivity, such as the Rapid Transit System Link, and address congestion at land checkpoints, among other bilateral issues.
