Malaysia’s economic region Iskandar expects a strong investment flow from Singapore, in spite of an expected economic slowdown in H2 of this year.
Puan Arlida Ariff, CEO of Iskandar Investment, hopes the improved bilateral ties will attract Singapore investments.
Spanning over 2,200 sq km, the Iskandar economic region situated in southern Johor is three times bigger than Singapore. Since the end of 2006, Iskandar has lured over 60 billion ringgit worth of investment from local and foreign investors, exceeding its own target of 47 billion.
Currently, Singapore is the third largest investor in Iskandar, with committed investments reaching 3.03 billion ringgit. These investments are mainly in education and manufacturing, and electronics and electrical sectors.
However, according to the CEO of the economic region, it offers plenty of synergistic opportunities especially in tourism.
“This is an area Singaporeans as visitors have taken advantage of. But for businessmen (and) investors, this is certainly an area we see potential and opportunities… those are the areas we would like to invite interest from Singapore,” said CEO Arlida Ariff.
To boost its tourism industry, Iskandar is opening two more hotels, retail malls, a marina, and an indoor family theme park including Asia’s first Legoland in 2012. It also plans to add another 5.5 million sq ft of commercial and residential space later this year.
"Very frankly, most long-haul visitors look for location that justifies a stay of 4-5 nights," said CEO Arlida Ariff. "I think, singly, Johor and Singapore do not provide the long-stay conditions. We don’t have enough attractions to justify a long stay."
"(But) working together in collaboration, we can develop packages. It’s a win-win situation; we actually create a bigger market."