Malaysia and Singapore on Tuesday agreed to build a high-speed train link between their urban centres.
The line will run 350km from Singapore to Kuala Lumpur, according to the memorandum of understanding witnessed by visiting Singapore Prime Minister Lee Hsien Loong and Malaysian Premier Najib Razak.
The High Speed Rail (HSR), which is expected to be completed in 2026, will cut travel time between Singapore and the Malaysian capital to 90 minutes, from the current five hours by car.
Lee said that the HSR bidding process would be transparent.
“We will make sure we get the best value and the best choice for the project” the Singaporean leader said in a press briefing.
“The structure has to be right; the execution has to be properly done.
Malaysian Prime Minister Najib Razak said that the project was expected to spur new economic opportunities for both countries.
“It will create a very exciting future,” Najib said.
Singapore and Malaysian authorities have yet to cost the project, but some analysts projected as much as 15 billion dollars.