Malaysia’s China-backed US$10.5 billion East Coast Rail Link back on track, foreign minister says

All of the problems that dogged project have been ‘fully resolved’, Saifuddin Abdullah says on visit to Beijing

Scheme’s relaunch will give ‘better opportunities for both the government and the people of both countries’, minister says

Reading Time:3 minutes

China and Malaysia agreed a new deal on the East Coast Rail Link in April that cut its cost to US$10.5 billion. Photo: AFP

Published: 11:00am, 13 Sep 2019Updated: 11:00am, 13 Sep 2019

All of the problems that derailed the China-backed East Coast Rail Link in Malaysia have now been resolved and the project is set to proceed with the greater involvement of local people, the Southeast Asian country said on Thursday.

Speaking on a visit to Beijing, where he met Chinese State Councillor Wang Yi, Malaysia’s Foreign Minister Saifuddin Abdullah said the project, which stalled over concerns about its high price tag, was back on track and all issues had been “finally resolved”.

A new deal was agreed in April that cut the total cost of the scheme by almost a third to 44 billion ringgit (US$10.5 billion)

“The relaunch of the ECRL gives better opportunities for both the government and the people of both countries,” Saifuddin said.

“You will see increased involvement by China in the project and at the same time, increased involvement by local companies and Malaysians.”

The relaunched project will give better opportunities for the government and people of Malaysia and China, Malaysia’s Foreign Minister Saifuddin Abdullah says. Photo: AP