http://www.channelnewsasia.com/palmnews/afp_asiapacific/view/227428/1/.html
Malaysia may reveal details of South
Johor Economic Region on Friday
29 August 2006 1902 hrs (SST) 1102 hrs (GMT)
SINGAPORE : Malaysia may reveal preliminary details about its plans
for a huge, special economic zone in southern Johor this Friday
when Prime Minister Abdullah Ahmad Badawi presents the national
budget.
That is according to Minister for International Trade and Industry
Rafidah Aziz, who is in Singapore on a business visit.
She also adds that the recent
proposal to levy a RM20 tax on foreign cars entering Johor has been
scrapped.
Earlier this year, Malaysia announced plans to build a special zone
in south Johor as part of efforts to transform the state into an
economic hub.
As much as RM15 billion worth of developments may be earmarked to
develop the South Johor Economic Region.
But the Malaysian trade minister says the government is committed
to making Johor a special area, one that is capable of competing
with regional leaders such as Singapore.
"The Malaysian government is committed towards promoting Johor as
an economic hub. With the announcement of the South Johor Economic
region, which encompass the districts of Johor Baru, Pasir Gudang
and Kulai as well as Jeram Batu, Sungai Karang and Serkat, we will
see contiguous to Singapore a new hub," says Malaysia's Minister
for International Trade and Industry Rafidah Aziz.
The special zone is expected to cover a 2,217 square kilometre
area, and Malaysia is widely expected to announce a raft of
incentives to get foreign firms to come on board.
And businesses in Singapore have been urged to explore the new
opportunities it offers.
"We are looking forward to the details of the South Johor Economic
Region plans being released. When that is released, of course,
we'll study it in detail and like what Minister Rafidah said,
Malaysia wants to publicise it and Singapore companies will see how
we can fit the plans of the two countries working together," says
Singapore's Minister of Trade and Industry Lim Hng Kiang.
"This is natural because of the proximity, the lower land cost and
lower wage cost. Johor's economy complements very well with
Singapore's economy," he added.
Minister Rafidah says the much-awaited details of the special zone
could be announced this Friday.
"I think in the budget it might come out. Wait for (another) three
days," says the Malaysian trade minister.
She also adds that plans to
introduce a RM20 levy on foreign cars entering Johor, with effect
from September 1, has been scrapped.
"Johor says 'tak ada', otherwise there will be an announcement, "
said Minister Rafidah.
Singapore investments in Malaysia totalled RM2.9 billion last year
- up by more than 50% - with more than half going to Johor
state.
- CNA /ls
