Singapore-Johor SEZ Receive Investments of $550 Million
In a boost to the Johor-Singapore Special Economic Zone (JS-SEZ), half a dozen major local and international banks on Monday signed letters of intent (LOIs) with the Malaysia’s Ministry of Economy to help bring in investments to the Johor-Singapore Special Economic Zone (JS-SEZ), which has already secured $550 million in investment.
The signatories include Malayan Banking Bhd, CIMB Group Holdings Bhd), CGS International, Sumitomo Mitsui Banking Malaysia, Bank of America Malaysia, and HSBC Malaysia.
Maybank said that it has helped its Singapore-based clients, Alpine Renewables, Edible Oils Pte Ltd, Centurion Corporation Ltd, and Thomson Medical Group Ltd, submit LOIs to the Iskandar Regional Development Authority (IRDA) for planned investments of up to $550 million over the next three to 10 years.
It said that under financing support, Maybank would, among others, facilitate financing, including green financing and Islamic financing for critical new technologies and infrastructure development and provide comprehensive trade finance solutions, investment guarantees and credit facilities to attract foreign direct investments.
President and Group CEO of Maybank Datuk Khairussaleh Ramli said that Maybank has launched several initiatives to position the zone as a regional hub, including strengthening the local ecosystem by upskilling micro, small and medium enterprises in the areas of supply chain and halal facilitation and establishing a JS-SEZ Desk to drive investments.
“Maybank has been taking the lead in supporting clients in strategic sectors such as data centres, infrastructure and semiconductor and facilitated the approval of the first single family office in Malaysia and the Forest City Special Financial Zone,” he said.
The six institutions have been tasked with supporting and channelling capital to prospective clients of the JS-SEZ — which is being developed as a cross-border hub for innovation, logistics, healthcare, and sustainable industries.
Banks’ Presence Critical
In his keynote address at the JS-SEZ Partners’ Dialogue: Advancing Facilitation session, Minister of Economy Datuk Seri Mohd Rafizi Ramli said that with banks being the conduits of capital, their presence is critical to galvanising private-sector participation through the pooling of capital and commerce.
Having the buy-in from these anchors of the financial system is perhaps the best show of progress and belief in the JS-SEZ to date, he noted.
It may be recalled that Malaysia and Singapore signed an agreement in January 2025 to create the zone that aims to attract 100 projects worth $23.29 billion within its first decade and create some 100,000 new jobs in high-value economic sectors.
To support the JS-SEZ, the government has announced several incentives, including a special corporate tax rate, to lure investors to set up shop in the zone that stretches from Kulai and part of Pontian to Pengerang.
“The banks will realise the vision of the JS-SEZ through financing support, promotion, stakeholder engagement, and market intelligence and the lenders will have direct access to government policy and support to convince their clients to invest in the zone,” he pointed out.
The banks picked were to ensure broad international investor outreach with CGS International targeting Chinese investors, Sumitomo Mitsui covering East Asia, and Bank of America representing the US market, he said.
“Discussions were ongoing with a European bank expected to join soon. They will come on board…I think it takes slightly longer to go through the internal process,” Rafizi added.
