hitachi bullet train

The upcoming KL-Singapore high-speed rail (HSR) rail project is expected to contribute RM100 billion to Malaysia’s Gross Domestic Product (GDP), with 70% from that amount originating from the project’s construction, operations and the multiplier impact of the two activities.

The remaining 30% will be generated from the expanded economic benefits resulting from areas like real estate, tourism, and service sectors. Minister in the Prime Minister’s Department, Datuk Razali Ibrahim explained this in Parliament recently.

“Malaysia and Singapore at a meeting between prime ministers Datuk Seri Najib Razak and Lee Hsien Loong, had reiterated their commitment for the project including on its terms and new date of completion,” Razali said in reply to a question posed by Rompin MP Datuk Hasan Arifin.

The game-changing project was scheduled for completion by 2020, but that deadline has been reportedly delayed to 2022, citing the scale and complexity of the project.

Many parties have expressed their interest in developing the proposed 330 km-long line, including China, which claims it can meet the initial 2020 deadline, as well as the French with their Train à Grande Vitesse (TGV).

Further details about the HSR project will be revealed in 2017, with a new company named MyHSR Corp being assigned as project lead. According to the Land Public Transport Commission (SPAD), the ticket price for a one-way trip on the HSR line is expected to cost “less than RM200.”