Singaporean Transport Minister Khaw Boon Wan (R) and his Malaysian counterpart Anthony Loke during the train project link supplemental agreement signing ceremony on May 21 (Photo: www.todayonline.com)
 
Hanoi (VNA) – Singapore and Malaysia on May 21 agreed to suspend the construction of a train project linking the two countries.

In a joint statement, Singaporean Minister for Transport Khaw Boon Wan and his Malaysian counterpart Anthony Loke announced that the delay will be until September 30 and that Malaysia will pay Singapore compensation for abortive costs.

Loke said the delay does not mean that the project is terminated. Malaysia wants to re-evaluate it so that this project can be carried out more effectively, he noted.

The suspension marks the delay in another project since the new Malaysian government came into power last year, pledging to tighten finance and review major deals.

Measuring about 4 km in length, the subway line linking Woodlands of Singapore and Johor Bahru of Malaysia is designed to carry up to 10,000 passengers per hour in each direction. The project was estimated to cost around 1 billion USD and complete at the end of December 2024.

The neighbouring countries last year also suspended a high-speed rail project linking Singapore to Malaysia's capital of Kuala Lumpur, which analysts estimated to cost around 17 billion USD.-VNA