Asia Malaysia Malaysia revives massive China-backed project

Malaysia revives massive China-backed project

Author

Date

Category

- Advertisement -

Malaysia will revive a $34 billion Chinese-backed transport and property development that was abandoned in 2017, the prime minister said Friday, adding the project would contribute to Beijing’s global infrastructure drive.

The announcement came after the countries agreed this month to resume work on a previously suspended railway project in Malaysia, and is the latest sign of improving ties after a rocky period.

The 140-billion ringgit ($34 billion) Bandar Malaysia development in Kuala Lumpur is expected to attract financial institutions and companies, and will be an interchange for a number of rail lines, said a statement from Prime Minister Mahathir Mohamad’s office.

There were some changes to the original plan, including 10,000 units of affordable housing, and a “People’s Park”, it said.

- Advertisement -

The project was originally launched in 2011 under the government of ex-leader Najib Razak, but was abandoned in 2017 during his administration due to a dispute about payments.

Najib lost power at historic elections last year, and has since been slapped with dozens of charges over his alleged role in looting state fund 1MDB.

The Bandar Malaysia project was initially backed by the scandal-hit state fund, but a major stake was later sold to a joint venture between a Malaysian firm and state-owned company China Railway Engineering Corp.

It will resume with the same contractors, who own a 60 percent stake while the government owns the rest.

Bandar Malaysia and the revived rail link, which will run from Malaysia’s east to west coast, “should be viewed within the larger context of fostering and cementing long-term bilateral relations between Malaysia and China,” the statement said.

The projects will “be a significant contribution to the Belt and Road Initiative which Malaysia expects to be able to tap on,” it added.

Mahathir is due to join other world leaders at a summit focused on Beijing’s Belt and Road infrastructure drive in China next week. The $1 trillion programme includes maritime, rail and road projects in Asia, Africa and Europe.

Ties had been strained between the two countries since Najib, a close Beijing ally, lost power, and Mahathir suspended a series of Chinese-financed projects amid concerns the terms were unfair to Malaysia.

jsm/sr/rox

© Agence France-Presse

Send in your scoop to news@theindependent.sg 

- Advertisement -

JTC issues stop-work order on contractor that ‘erroneously’ cleared Kranji woodlands

Singapore – The contractor that “erroneously” cleared a forested area at Kranji has announced it has been issued a stop-work order by JTC and is assisting the developer with investigations on the issue. On Feb 16, state-owned industrial property developer JTC responded...

Clementi, Dover, Kranji: Singapore’s grand conservation plan is to plant trees and destroy forests

Yes, we love to plant trees. Since Lee Kuan Yew started the whole ritual, at least 10,000 saplings are planted every year since 1963 as part of the Tree Planting campaign. Impressive indeed. Singapore Clean and Green. At the same time,...

Ex-UOB vice-president charged with mishandling over S$5.4 million

Singapore—Sixty-five-year-old Ling Shek Lun, who used to be a  vice-president at UOB, has been charged with mishandling millions of dollars, reported straitstimes.com (ST) on Friday (Feb 19). Ling, a Singaporean who was charged in district court on Feb 10, faces two charges...

Send in your scoop to news@theindependent.sg 

Theindependent