6 banks back Malaysia’s JS-SEZ push, securing RM2.35B

MALAYSIA: Six local and international banks have signed letters of intent (LOIs) with Malaysia’s Economy Ministry to drive investments into the Johor-Singapore Special Economic Zone (JS-SEZ), securing RM2.35 billion (S$709 million) in investment so far, The Edge Malaysia reported.

The banks involved were Bank of America Malaysia, CGS International, CIMB Group Holdings Bhd, HSBC Malaysia, Malayan Banking Bhd (Maybank), and Sumitomo Mitsui Banking Malaysia. The banks are responsible for guiding investments into the JS-SEZ, a cross-border hub for innovation, logistics, healthcare, and sustainable industries.

On Monday, Maybank said it helped Singapore-based clients Alpine Renewables, Centurion Corporation Ltd, Edible Oils Pte Ltd, and Thomson Medical Group Ltd submit LOIs to the Iskandar Regional Development Authority (IRDA) for investment plans of up to RM2.35 billion over the next three to 10 years.

Economy Minister Datuk Seri Rafizi Ramli said during the JS-SEZ Partners’ Dialogue: Advancing Facilitation forum that the banks’ presence is “critical to galvanising private-sector participation through the pooling of capital and commerce.”

He said that securing support from these key financial players is the “best show of progress and belief in the JS-SEZ” so far.

Mr Rafizi added that a European bank is expected to join soon. However, he noted that the internal process may take “slightly longer.”

The JS-SEZ agreement signed on Jan 6 aims to attract investment in 11 sectors, including the digital economy, logistics, tourism, manufacturing, and renewable energy, and create 20,000 skilled jobs over the next decade. /TISG

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