Malaysia remitted SGD 15 million as abortive costs for suspending SG-KL HSR

According to media reports, Malaysia has remitted a SGD 15 million payment to Singapore as abortive costs incurred the suspension of the Kuala Lumpur-Singapore High Speed Rail (HSR) project.

The figure was agreed upon in September 2018 by both countries. Malaysia and Singapore had agreed to postpone work on the HSR up to May 31, 2020.

Yahoo News said in a report that the project was to resume by end of May 2020, failing which it will be deemed to be terminated. Malaysia would then have to bear the costs incurred by Singapore in fulfilling the HSR agreement. 

Photo: Connected to India
Photo: Connected to India

“We have received confirmation from the Government of Malaysia through diplomatic correspondence that it has remitted to the Government of the Republic of Singapore the payment for abortive costs incurred by Singapore in suspending the Kuala Lumpur-Singapore High Speed Rail Project,” Ministry of Transport said in a media statement on Thursday, January 31. 

Singapore's transport minister Khaw Boon Wan had previously said that as of end-May 2018, more that SGD 250 million had already been spent on the HSR project by Singapore. The figure included costs for consultancies to design the civil infrastructure, manpower and land acquisition. 

CtoI News Desk
CtoI News Desk – CtoI

Singapore-headquartered online media company targeting Indian Diaspora across Singapore, US, UK and Dubai. Connected to India covers developments around Indians abroad, informing, engaging and entertaining its audiences.


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