HSR

KUALA LUMPUR (Jan 15): Japanese firms will offer substantial equity participation to Malaysian and Singapore companies, while setting up cooperation in a myriad of areas, if they are successful in bidding for the Kuala Lumpur-Singapore High-Speed Rail (HSR) project.

“The setting up of a railway such as the HSR will open a window for massive local participation, especially in the construction of large-scale infrastructure buildings.

“In this regard, we welcome the participation and cooperation, with local companies in Malaysia and Singapore. The railway alignment will need technological know-how already accumulated in Japanese infrastructure companies.

“Collaboration between local industries and their Japanese partners would be, in our policy, and an essential component in the building of solid infrastructure for such a high-tech project," Japanese Ambassador to Malaysia, Makio Miyagawa told Bernama in an interview.

He also said that it would also trigger a boom for Malaysian and Singaporean companies, including small and medium enterprises.

“A set of companies to be established in Malaysia and Singapore will have the joint participation of both Japanese and local industries. We would be very delighted to have their solid and forward-looking partnership and participation in the operation and management," Miyagawa said.

Japan's HSR bid would come with the best technology, cost effectiveness and financial package, he added.

Miyagawa also said that Japan can replicate the success of the country’s high-speed rail system in Malaysia and Singapore.

He explained that the HSR will not just create business and job opportunities for locals, but would also be an impetus for the nationwide growth of Malaysia and Singapore. 

With the introduction of the famous Shinkansen in Japan, the world’s first high speed train system more than five decades ago, areas hosting its stations have seen the growth of retail outlets, residences and manufacturing.

"We want to see the same success replicated in Malaysia and Singapore. As we have been doing in Malaysia for the past 60 years via our bilateral ties, all these developments are expected, should the Shinkansen system be chosen," the ambassador told Bernama.

Other bids are expected to come from China, South Korea and France for the KL-Singapore HSR project worth between RM50 billion and RM60 billion.

Meanwhile, a report by the Nikkei Asian Review said that Tokyo will provide financial backing to Japan’s 10-company consortium for its bid for the KL-Singapore HSR.

The public-private fund Japan Overseas Infrastructure Investment Corp for Transport and Urban Development is expected to support the consortium seeking to win tenders for the project.

Japan plans to submit its proposal for the project by June.

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