A very significant joint announcement today (7 April 2014) was that the proposed High Speed Rail (HSR) as well as the Rapid Transit System is on track. The HSR is expected to be ready by 2020. This was announced in the 5th Malaysia-Singapore Leaders’ Retreat in Kuala Lumpur. These are expected to ensure seamless travel between Kuala Lumpur and Singapore as well as the enhancement of business linkages and both countries closer than ever. Additionally, Singapore’s stations may be located in Tuas West or Jurong East while Malaysia’s side may be in Sungai Besi. It will not happen suddenly though as there are still so many matters to discuss and decide like design financing, security and immigration requirements. In fact, both leaders spoke about the possibility of having just ONE (1) checkpoint instead of two to ensure efficiency of travel for goods, services and people between Malaysia and Singapore.
Iskandar Malaysia was also mentioned. Both agreed that Iskandar Malaysia is not just for services or residential properties but should also encompass manufacturing, create more jobs, attract investments and thus having an organic, comprehensive, dynamic centre of economic vitality in Johor. it is envisioned that Iskandar Malaysia may be a strategic play for both Singapore and Malaysia to be even more integrated and complementing each another in terms of economies. This is the fifth Leaders’ Retreat for Malaysia and Singapore and the next one would be held in 2015 in Singapore. If you wish, do read the full article here: http://www.channelnewsasia.com/news/singapore/m-sia-s-pore-welcome/1061266.html
Personally I think this cooperation should continue because both countries are not that huge when compared to to even Thailand, Indonesia or Philippines. Thus, the more integrated both countries are, the better the GDP growth may be, just like what is happening to Indonesia or Thailand today where the domestic economy is a big driver to the respective country’s economy. In fact, if we look at Singapore’s projection of hitting between 6.5 million to 6.9 million by year 2030, it means Singapore will continue to grow from current 5.3 million by another 1.2 million – 1.6 million. Yearly basis, this is up to 100,000 new population per year. On a ratio of 1:3 based on just this growth, Singapore needs 30,000 units of new properties per year. HDB is expected to offer up to 24,000 flats in 2014. Do you see one reason why property prices will continue to be on uptrend in future even if currently, it seems to have declined a little.
There are way too many things that needs to be discussed. Will continue to write on this continuously. For now, just get to know that the current relationship is cordial and integration between Johor and Singapore is continuous. The most important catalyst for the growth to spike is just more links. It can be RTS or HSR or even another bridge. Just get it done asap because today, during peak hours, it is impossible to cross between both countries in less than 1.5 hours despite the fact that on non peak hours, it takes nothing more than just 30 minutes. (23km) More economic growth? More links please.
written on 77 April 2014
Next suggested article: Expert Series Q&A – Iskandar, Johor – Mr. Ryan Khoo