JOHOR BAHRU, April 1 — Johor is committed to sustaining its position as a leading investment destination and to remain at the forefront of foreign direct investment (FDI) inflows, which reached RM110.1 billion in 2025, the highest among all states.

Johor State Economic and Investment Advisor Datuk Seri Hasni Mohammad said the state will not remain complacent despite its strong performance, but will enhance its competitiveness and investment ecosystem continuously.

He also said the Johor-Singapore Special Economic Zone (JS-SEZ) will serve as a key blueprint to provide clarity and certainty for both new and existing investors, while also enabling the state to retain and expand current investments.

“What is important now is for Johor to maintain its momentum and remain a preferred destination for investors.

“We are not only talking about attracting investments, but also reclaiming and strengthening investments that are already in Johor. The JS-SEZ will address uncertainties and provide a clear framework for investors,” he said during the Asia Summit on Advanced Innovation & Manufacturing 2026 here today.

Efforts to enhance Johor-Singapore cross-border connectivity are also being accelerated under the JS-SEZ, including the QR code immigration clearance, digital cargo systems, and the upcoming Rapid Transit System (RTS) Link.

Hasni said the RTS Link, scheduled to commence in January 2027, is expected to carry up to 10,000 passengers per hour each direction, potentially transforming travel patterns across one of the world’s busiest land border crossings. It currently records about 300,000 daily travellers, including 100,000 motorcyclists.

“We cannot afford any glitches in our systems, whether it is the QR code clearance, digital cargo, or the RTS itself. These initiatives must work seamlessly to support growing cross-border movement,” he said.

Hasni, who is also Johor Economic, Tourism and Cultural Office Singapore (JETCO) executive chairman,  said the improved connectivity could significantly alter commuting trends, with more efficient travel potentially increasing movement between Johor and Singapore in both directions.

On the industrial front, he said Johor currently hosts the largest number of data centres in Southeast Asia, and accounts for more than 50 per cent of the state’s total FDI last year.

He acknowledged, however, that the sector’s high demand for electricity and water presents sustainability challenges, particularly amid climate change and resource constraints.

“We must move away from reliance on coal-based energy and transition towards renewable energy to remain attractive to investors, while ensuring long-term sustainability,” he said.

The state has established the Johor Sustainability Centre to drive green initiatives and technological adoption to support this transition, while encouraging industries to improve energy efficiency, he said.

A total of 126 companies have been identified as managing energy inefficiently, and the government is offering incentives and tax allowances to encourage a shift towards renewable energy usage, he said. — Bernama