In order to further facilitate cooperation, Malaysia and Singapore are considering the implementation of passport-free QR code clearance at their land checkpoints to support the Johor-Singapore Special Economic Zone (JS-SEZ). The area is meant to help bolster trade and investment, tourism and people-to-people connectivity, as well as foster sustainable ties between Malaysia and its island neighbour.
According to reporting by The Star, a memorandum of understanding (MOU) was recently signed, with Economic Minister Rafizi Ramli and Singapore’s Trade and Industry Minister Gan Kim Yong saying that the two countries are exploring several initiatives as they work towards the economic zone.
“The initiatives include the implementation of a passport-free QR code clearance system on both sides, adopting digitised processes for cargo clearance at the land checkpoints, and co-organising an investor forum to gather feedback from Singapore and Malaysian businesses on the SEZ,” they said.
“Other initiatives include setting up a one-stop business and investment service centre in Johor to facilitate the application processes for various approvals and licences necessary for Singapore businesses to set up in the state,” they added.
In addition, the two countries are also working towards curating training and work-based learning initiatives to address talent and skills gaps for relevant industries in the SEZ. To this end, the two countries will also be developing joint promotion events.
Johor recorded RM70.6 billion worth of investments in 2022 alone across various sectors, including electrical and electronics, medical equipment, food manufacturing and data centres. Singapore was also Johor’s second largest foreign investor from January to June 2022, contributing around 70 percent of the state’s total foreign direct investment (FDI), particularly in the manufacturing sector.
“Under the MOU, Malaysia and Singapore will work towards enhancing cross-border flows of goods and people as well as strengthening the business ecosystem within JS-SEZ to support investments,” said the ministers.
The agreement is expected to be finalised in the fourth quarter of 2024. If all goes well, full implementation can start as early as 2025. If successful, the JS-SEZ could bring even more business and work opportunities to Johoreans.
