Malaysia and Singapore announced on Tuesday an agreement on a special economic zone in the southern Malaysian state of Johor, aiming to support investment and free up movement of goods and people between the countries.

Malaysia unveiled a slew of tax incentives to lure investors to its joint special economic zone with Singapore that seeks to add $26 billion per year to the Malaysian economy by 2030.

Malaysia and Singapore leaders signed an agreement on Tuesday to create a special economic zone to attract global investment and ease the cross-border flow of goods and people. Malaysian Prime Minister Anwar Ibrahim called the Johor-Singapore special economic zone a “unique initiative” that harnesses each other's strengths and deepens linkages in a world that is becoming more polarized.

Malaysia and Singapore signed the Johor-Singapore Special Economic Zone (JS-SEZ) agreement to boost cooperation and investment between Johor and Singapore, utilizing their proximity for mutual growth,

The Johor-Singapore Special Economic Zone is nearly twice the size of Shenzhen, whose success it is hoping to emulate.

OCBC supported about 260 new mid-sized enterprises to set up shop in Malaysia. OCBC has welcomed the signing of the Johor-Singapore Special Economic Zone (JS-SEZ) agreement by Malaysia and Singapore,