Malaysia to Rekindle Important property Undertaking that is China-linked

Malaysia’s government said Friday it will reestablish a multibillion-dollar land and transport project in Kuala Lumpur involving a Chinese state firm, calling it a donation to China’s international”Belt along with Road” infrastructure initiative.

Prime Minister Mahathir Mohamad said the Cabinet agreed Wednesday to reinstate the Bandar Malaysia job, which is predicted to price 140 billion ringgit ($33.8 billion).

The 500-acre (202-hectare) project will improve urban growth and act as a heart to woo global finance, technology and entrepreneurial businesses, he added.

It sold a 60% stake to the consortium although the country investment fund in 2011 started bandar Malaysia. The authorities took over the bet due to its debt issues of 1MDB, but the project had been fired from the government in May 2017 because of a payment dispute with the consortium.

The 1MDB scandal led to the election ouster past May of former Prime Minister Najib Razak, who is currently on trial for corruption.

The transfer to renew Bandar Malaysia comes a week after the authorities declared a China-backed rail link job following the Chinese builder agreed to reduce the construction cost by one-third to 44 billion ringgit ($10.6 billion).

It comes just days ahead of Mahathir would be to travel to China weekly to attend Road forum and to the Belt.

Chinese President Xi Jinping has created the Road along with Belt initiative a touch coverage. The program intends to weave a system of bridges, ports and power plants linking China with Africa, Europe and outside.

Mahathir said the Bandar Malaysia project, add economic value and like the rail project, will boost ties.

“These two key projects are also a significant contribution to the Belt and Road Initiative which Malaysia hopes to be able to tap and exploit its own multiplier effects along the value chain,” he explained.

Mahathir said the revived project will include a people’s park and homes and will prioritize the use of local building material.

It was built to house the hub to get a high-speed railroad line connecting Singapore to Kuala Lumpur that could reduce journey time to 90 minutes however Mahathir’s authorities suspended the railroad job on the floor that it was too costly.

Mahathir said there will be”sufficient space for the channel” if the government later decides to proceed with all the high-speed railroad.