MCO restrictions cost Johor 20% in revenue, says MB

The loss was in taxes and charges that could not be collected as well as a drop in investment and tourist arrivals. (Bernama pic)

KLUANG: The Johor state government suffered a loss of revenue of over 20% because of movement control order restrictions and the closure of the Malaysia-Singapore border, Menteri Besar Hasni Mohammad said.

He said the losses were not only due to certain taxes and charges that could not be collected, but also from the drop in investment activities and a decline in tourist arrivals from the neighbouring country.

“Johor is a state with considerable potential economically but, at the same time, when our neighbouring country, Singapore, faces economic challenges, Johor will be twice affected, as compared to other states.”

Hasni added that the government was committed to finding ways to revive the economy, including providing various initiatives and lifting restrictions to help restore economic growth.

On the entry of local workers into Singapore, he said, the matter was still being discussed.

He said based on records, some 200,000 Malaysians, mainly those living in Johor Bahru, are working in Singapore, adding that some were commuting daily between the two countries.

Yesterday, Prime Minister Muhyiddin Yassin said Malaysia and Singapore had agreed to establish a Periodic Commuting Arrangement to allow residents from both nations who hold long-term immigration passes for business and work purposes in the other country, to periodically return to their home countries for short-term home leave.

Muhyiddin said the Reciprocal Green Lane would also be established to facilitate cross-border travel for essential business and official purposes between both countries.

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