Malaysia, Singapore cancel high-speed railway project

By Omer Faruk Yildiz

KUALA LUMPUR (AA) - Singapore and Malaysia terminated a multibillion dollar high-speed rail project Friday due to a dispute between the two countries.

The administrations of the two countries could not reach an agreement on technical details and the contract was cancelled at the Malaysian side's request, the Malaysian government said in a statement.

Malaysia will compensate Singapore for the cancellation, the government added.

Stating that the cancellation would not affect ties between the two countries, the Singapore government said in a statement that the two countries will continue to be in close cooperation since they have deep and multifaceted relations.

The two countries signed an agreement in December 2016 to build the 350-kilometer (218-mile) high-speed rail line, but before construction started, the project was suspended at the request of Malaysia in 2018 as part of the government’s fiscal reforms.