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Bloomberg
Malaysia is proposing to resume a rail project connecting its southern state of Johor to Singapore at a lower cost.
The government is seeking to downsize the price tag by 36% to 3.16 billion ringgit ($756 million) with changes to the structure and scope of the project, Prime Minister
Mahathir Mohamad told reporters in Johor Bahru.
Construction of the Johor Bahru-Singapore Rapid Transit System Link has been delayed repeatedly, with Malaysia requesting a six-month suspension earlier this year citing concerns over costs.
Mahathir has been seeking to reduce his nation’s debt and review projects signed off by his predecessor Najib Razak, including a bullet train that was supposed to connect Singapore with Kuala Lumpur. A few of those projects have since been restarted, including the China-backed East Coast Rail Link that was revived after nearly halving the price tag.
Malaysia expects to sign an agreement on the Singapore-Johor rail by early next year, Transport Minister Anthony Loke said.
Much of the savings will be due to land and other engineering and design cost cuts, with Malaysia proposing a light-rail transit system similar to lines operating in Kuala Lumpur to lower the price, he said.