Malaysia-Singapore Leaders Discuss Maritime Boundaries and Economic Cooperation

Malaysian Prime Minister Anwar Ibrahim and Singapore Prime Minister Lawrence Wong have made significant strides in their bilateral relationship during the 11th Malaysia-Singapore Leaders’ Retreat held in Putrajaya. The leaders addressed two major issues: the delineation of maritime boundaries and airspace management.

Milestone for Maritime Boundaries

Both nations agreed on an ‘indicative timeline’ for determining the precise location of their maritime boundaries in the Johor Strait. Joint technical works are set to commence in 2025, showcasing a commitment to resolving long-standing disputes.

  • The technical working group has met four times since June 2023.
  • Discussions will follow the Straits Settlements and Johore Territorial Waters Agreement 1927.
  • The leaders emphasized progress towards a ‘durable, win-win’ solution.

Airspace Management

The leaders reiterated the importance of reviewing air traffic service delegation arrangements over Southern Peninsular Malaysia. They affirmed that such arrangements do not affect national sovereignty.

  • The air traffic agreements date back to approved recommendations by the International Civil Aviation Organization (ICAO) in 1973.
  • Bilateral discussions aim to ensure efficient and safe air traffic management.
  • Transport Ministers from both countries have been tasked to guide these efforts.

Economic Cooperation: The Johor-Singapore Special Economic Zone

In the same spirit of collaboration, Anwar and Wong discussed the Johor-Singapore Special Economic Zone (JS-SEZ), described as a ‘key milestone’ in their relations. Set to cover a vast area across Johor, the JS-SEZ aims to enhance economic viability for both countries.

  • The zone will include nine flagship areas, focusing on sectors like:
    • Manufacturing
    • Tourism
    • Energy
    • Digital economy
  • Special tax incentives were announced, including a reduced corporate tax rate for qualifying businesses.
  • Both leaders emphasised aligning efforts for mutual economic benefits.

Further Collaborations and Agreements

In addition to the above discussions, several memorandums of understanding (MOUs) were signed, aimed at strengthening cooperation in various fields:

  • Higher education
  • Urban development
  • Transnational crime prevention
  • Carbon capture and storage

This proactive approach aims to ensure commitments translate into tangible outcomes for both nations.