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Johor’s investment boom is real, but actual contribution from JS-SEZ unclear

Investment activity seems dominated by bigger firms so far, while spillover action for SMEs is uneven

Summarise
    • Singapore and Malaysia signed a memorandum of understanding to set up the JS-SEZ in January 2024, and a formal agreement a year later.
    • Singapore and Malaysia signed a memorandum of understanding to set up the JS-SEZ in January 2024, and a formal agreement a year later. PHOTO: TAY CHU YI, BT
    Chuah Bee Kim
    Published Fri, Sep 25, 2026 · 10:53 AM

    [JOHOR BAHRU] Billions of ringgit in projects within the Johor-Singapore Special Economic Zone (JS-SEZ) have been approved, but it remains unclear how much of these new investments the zone has actually brought to Johor that would have otherwise not gone ahead. 

    Johor recorded RM59.4 billion (US$14.6 billion) in total approved investments in the first half of 2026, a spokesperson from the Malaysian Investment Development Authority (MIDA) told The Business Times.

    The figure draws on data from sources beyond MIDA, so it is unclear how much of that total was  located within the zone. Of the RM15.32 billion in investments approved under MIDA’s purview over that period, RM11.85 billion from 200 projects are located in the JS-SEZ. But the authority said it has been tracking these investments by project location and cannot determine the amount generated specifically by the initiative.