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Johor and Riau forging new paths now

A new book tells what differing government choices in managing the state-centre divide has done to the Singapore-Johor-Riau "Growth Triangle" of the early 90s.

Johor state leaders have financial autonomy, and so are driven to attract income-generating FDIs that lead to the setting up of manufacturing plants like the one seen above. Indonesian provincial leaders have no such financial interests.

IN the early 1990s, Singapore, the Malaysian state of Johor and the Riau Islands in Indonesia sought to leverage their proximity, differing factor endowments and good logistics connections to market themselves as a unit - the so-called "Growth Triangle". Forged at the height of the export-...

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