KUALA LUMPUR: The Malaysia-Singapore Joint Ministerial Committee (JMC), which was set up to explore avenues for collaboration between the two countries, could provide a boost to Iskandar Malaysia.
According to a report issued by Citigroup on Tuesday, May 4, an important outcome of this committee, which meets every quarter, was the Malaysia Automated Clearance System (MACS) to speed up immigration clearance for working professionals from Malaysia crossing over to Singapore. The scope was extended to Singaporeans who possess the relevant long-term immigration pass and who frequently travel within Malaysia and Singapore for business, study or leisure.
It was reported that 12,000 Singaporeans have already applied to utilise this new system.
Additionally, better bilateral relations could further speed up efforts to improve the travel links and immigration and customs procedures between the countries. According to the research house, several projects are in the pipeline to increase connectivity, including a One-Stop Service Centre in Johor Baru set up for Malaysian and Singaporean transport operators, a study on improvements to cross-border taxi services to be carried out and the criteria for frequent travellers under MACS has been set to four times per month.
Also, another eight bus routes between the two neighbours would be launched and 24-hour operations by Malaysian customs for all inbound and outbound lorries would be implemented at the Tanjung Puteri Cargo Complex.
However, there are key issues to be considered as to whether Singapore will be a competitor to Iskandar Malaysia and vice-versa.
Citigroup said the RM2.68 billion pumped in by Singapore investors since 2006 has largely been in manufacturing. Iskandar Malaysia has targeted six service sectors which appear to be the same industries that Singapore is targeting. Thus, it may seem that Iskandar is a competitor to Singapore, but even in services there are possible synergies given different target markets and price points, the research house noted.
"Iskandar is still at an early stage of development. Overall, despite concerns, the immense potential for the development region is evident. Progress appears to have been made in the construction of some projects. Completed projects so far are mainly in residential property or leisure developments, but commercial activities are still in the very early stages.
"Admittedly, it would take a stretch of imagination to visualise the final product at this early stage. Investors need to be patient, with many projects to be only physically completed from 2011-2012, let alone implementation and commercial success, which remains another big question mark," Citigroup said.
According to a report issued by Citigroup on Tuesday, May 4, an important outcome of this committee, which meets every quarter, was the Malaysia Automated Clearance System (MACS) to speed up immigration clearance for working professionals from Malaysia crossing over to Singapore. The scope was extended to Singaporeans who possess the relevant long-term immigration pass and who frequently travel within Malaysia and Singapore for business, study or leisure.
It was reported that 12,000 Singaporeans have already applied to utilise this new system.
Additionally, better bilateral relations could further speed up efforts to improve the travel links and immigration and customs procedures between the countries. According to the research house, several projects are in the pipeline to increase connectivity, including a One-Stop Service Centre in Johor Baru set up for Malaysian and Singaporean transport operators, a study on improvements to cross-border taxi services to be carried out and the criteria for frequent travellers under MACS has been set to four times per month.
Also, another eight bus routes between the two neighbours would be launched and 24-hour operations by Malaysian customs for all inbound and outbound lorries would be implemented at the Tanjung Puteri Cargo Complex.
However, there are key issues to be considered as to whether Singapore will be a competitor to Iskandar Malaysia and vice-versa.
Citigroup said the RM2.68 billion pumped in by Singapore investors since 2006 has largely been in manufacturing. Iskandar Malaysia has targeted six service sectors which appear to be the same industries that Singapore is targeting. Thus, it may seem that Iskandar is a competitor to Singapore, but even in services there are possible synergies given different target markets and price points, the research house noted.
"Iskandar is still at an early stage of development. Overall, despite concerns, the immense potential for the development region is evident. Progress appears to have been made in the construction of some projects. Completed projects so far are mainly in residential property or leisure developments, but commercial activities are still in the very early stages.
"Admittedly, it would take a stretch of imagination to visualise the final product at this early stage. Investors need to be patient, with many projects to be only physically completed from 2011-2012, let alone implementation and commercial success, which remains another big question mark," Citigroup said.
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