JS-SEZ Action Plan Expected To Be Ready By Third Quarter 2025 - Economy Ministry

KUALA LUMPUR, Feb 19 (Bernama) -- The government is preparing the Johor-Singapore Special Economic Zone (JS-SEZ) Action Plan and it is expected to be completed in the third quarter of 2025.

Allocations for the development of economic zones for the purpose of infrastructure development will be provided in the development allocations including for the JS-SEZ, the Economy Ministry said in a written reply posted on the parliament's website.

The ministry said this in reply to Datuk Wira Dr Ku Abd Rahman Ku Ismail (PN-Kubang Pasu) regarding the details of the JS-SEZ agreement, especially the financial obligations for Malaysia and Singapore.

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Ku Abd Rahman also asked when the JS-SEZ action plan would be ready. 

The ministry said that among the critical success factors agreed by Malaysia and Singapore for the implementation of the JS-SEZ are economic cooperation and joint investment promotion as well as the process of facilitating cross-border movement involving personnel and goods.

Meanwhile in reply to a question by Zahir Hassan (PH-Wangsa Maju), who asked the Economy Ministry to state a model of success in cooperation to create an economic zone between two countries in the world as well as the critical success factors in implementing JS-SEZ, the ministry said the JS-SEZ model is a general collaboration and there is no element of a binding agreement that requires commitment between the two countries involved in the special economic zone.

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In a related development, the ministry said the government is committed to ensuring that local investors are not marginalised and can participate in economic activities in the JS-SEZ area through three approaches.

The approach to be taken is the strengthening of local supply chains, technology transfer and capacity development as well as job opportunities and skills training.

Local companies also have the advantage of seizing support grant opportunities, matching grants and funds provided by various ministries and existing agencies for the expansion of company activities including in JS-SEZ.

The Economy Ministry said that among the grants was the Mid-Tier Company Programme managed by Khazanah Nasional Bhd with an allocation of RM1 billion.

"All these grants and funds can only be applied by local companies and are not offered to international investors and multinational companies," ministry said in reply to Hassan Abdul Karim (PH-Pasir Gudang) regarding the government's guarantee that local companies and investors are not marginalised or neglected due to the influx of many mega foreign investors in JS-SEZ.

-- BERNAMA