Malaysia and Singapore leaders have signed an agreement to create a special economic zone to attract global investment and ease the cross-border flow of goods and people.

The leaders of Malaysia and Singapore formalized an agreement establishing a special economic zone linking their two nations’ border region, with the aim of attracting 50 projects in the first five years of its establishment.

Malaysia and Singapore announced on Tuesday an agreement on a special economic zone in the southern Malaysian state of Johor, aiming to support investment and free up movement of goods and people between the countries.

KUALA LUMPUR -- Malaysia and Singapore will promote aerospace, medical devices and other high-tech sectors in a special economic zone they are developing as they move to ensure smooth flows of investments, talent and goods.

Malaysia will set up and manage an infrastructure fund to support companies looking to set up there, while Singapore will create its own fund to facilitate investments and support Singaporean companie

The JS-SEZ has a higher chance of success than past projects such as Iskandar Malaysia – launched in 2006 and conceptualised as a southern economic growth corridor – given the involvement of the Singapore Government, which brings to the table better governance, he noted.

Malaysia and Singapore have agreed to create a special economic zone in Johor. The initiative aims to foster investment and ease the movement of goods and people. The project promises high-value investments,