RTS Link could bring over RM3b additional spending to Johor Bahru each year — study

KUALA LUMPUR (July 17): The upcoming Rapid Transit System Link could spur Singaporeans to spend an additional RM3.3 billion annually in Johor Bahru, a study released on Thursday showed.

The rail line, also known as the RTS Link, could lead to a 51% jump in outbound trips by Singapore consumers looking for cheaper groceries, medicine, dining and beauty services in Johor Bahru, according to projections in the study titled “Impact of RTS on Singapore Retail and F&B Sector”.

Once the RTS Link service begins, both public and private transport users expect to increase trip frequency by up to 70%, with the majority of trips being day trips.

The study draws on data sources including Mastercard historical transactions as well as surveys of over 1,700 people in Singapore and 400 respondents in Johor over March 2026.

Jointly commissioned by the Singapore Business Federation, Restaurant Association of Singapore and Singapore Retailers Association, the study examines how the RTS Link could affect consumer spending, tourism flows, and business competitiveness in Singapore’s retail and food sectors.

The study also projects incremental spending of S$756 million, or about RM2.4 billion, in Singapore, resulting in net inflow for Malaysia.

Public transport users expect to do more solo and dining trips in Johor Bahru while those switching from private transport expect to take the RTS Link from Singapore as couples for health and beauty supplies and services.

Lower prices and favourable exchange rates were the most cited reasons for travel to Johor Bahru, according to findings from the study.

Meanwhile, visitors from Johor Bahru are expected to flock to Singapore for premium retail, entertainment and major lifestyle events.

More than one-third of Johor Bahru respondents said they intend to visit Singapore for events once the RTS Link is running, up from 24% before, while annual visits by public transport users could increase by 57% on average.

Visitors who previously drove to Singapore indicated they will switch to the RTS Link, with a preference for overnight stay and spending on entertainment.

The RTS Link will also see more existing public transport users travelling with friends to Singapore for shopping, while recreation spending is also projected to double, driven mainly by events and entertainment.

..........

Read about emerging trends, data-backed insights, growing subsectors, and expert commentaries in EdgeProp print. Subscribe now for your free copy!