Johor To Submit Plan On Opening Border With S’pore, Customs Revenue Has Been Affected

Johor To Submit Plan On Opening Border With S’pore, Chief Minister Worried About Businesses & M’sians

Since Malaysia locked down its borders in March due to the Covid-19 pandemic, Malaysian workers and Singaporean casual day-trippers alike have been living in a state of limbo.

Unable to see their families, some Malaysians working in Singapore have resorted to waving at them across the Straits of Johor.

Businesses in Johor Baru, on the other hand, have been badly hit by the absence of Singaporean day shoppers. A few familiar shopping malls have already shuttered.

Desperate to reopen the border, the state of Johor is thus submitting plans to the Malaysian federal government.

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Business & people affected by closed borders

Johor Chief Minister Hasni Mohammad said Johor cannot continue to close itself to Singapore, as he was worried that many businesses and people are being affected, reported the Malay Mail.

Mr Hasni, who was speaking at an exhibition in JB on Sunday (11 Oct), said the state had several reasons to consider opening the border, adding,

We could feel the direct effect when many residents living in Johor Bahru could not travel to and from work and other matters to Singapore.

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S’pore checkpoints contribute 50% of taxes

Illustrating the importance of opening the border to Johor, Mr Hasni also revealed that the tax collected at the Tuas and Woodlands checkpoints contribute up to 50% of the Customs Department’s revenue.

Thus, when the border can’t open, he believed it would affect customs revenue.

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Special plan to be proposed

Based on these concerns, Mr Hasni said Johor will table a special plan for the quick reopening of the border.

Saying that it’s necessary to explain why borders must be opened, he added that the plan won’t just describe why this must happen, but look at how border closures affect:

1. Malaysians working in Singapore
2. Investments in Johor
3. Those intending to enter to invest in Johor

The plan will be given to the Economic Action Council on 19 Oct.

Discussions on border reopening are ongoing

On 4 Oct, Mr Mustapa Mohamed, Malaysia’s Minister in the Prime Minister’s Department for Economy, said discussions with Singapore on reopening the border were are ongoing.

Although the country’s Covid-19 case count is again rising, the Government must also strike a balance between health and economic issues.

That’s because Malaysia’s economy needs to recover after months of lockdown.

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Border remains open for essential travel only

Currently, travel across the Singapore-Malaysia border via the Reciprocal Green Lane Scheme is only allowed for long-term pass holders and essential business travellers.

What the majority of people from both sides want now is for Malaysian workers to freely travel so they can see their loved ones again, and for Singaporeans to be able to shop and eat over the weekend to their heart’s content.

But it remains to be seen whether the Malaysian Government will accept Johor’s border plan, so workers and tourists have to hang tight for now.

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Featured image adapted from Facebook.