According to a statement, the collaboration was regarded as an important milestone in the development of SMEs in the Johor–Singapore region. It aimed to strengthen collaboration to help businesses address rising operating costs, tighter regulatory environments, and higher barriers to cross-border expansion, while injecting new momentum into the regional economy.
SME Negeri Johor President Dr Darren Lim said enterprises on both sides had long enjoyed strong complementary advantages but lacked a systematic and sustainable platform to connect these strengths. He noted that Singapore companies benefited from strong capital bases, robust institutional standards, and international experience, yet often faced challenges related to cost control, market adaptation, and partner selection when entering the Malaysian market. In contrast, Johor and Malaysian SMEs possessed vast market potential, strong execution capabilities, and high resilience, but faced difficulties accessing Singapore’s mature business ecosystem and key resources.
“This is not due to a lack of capability, but rather the absence of a platform that can truly and institutionally connect the strengths of both sides over the long term. If SMEs continue to operate in isolation, those constrained by structural limitations may be the first to be eliminated,” he said.
Dr Darren added that the MOU signified a shift in Johor–Singapore relations from individual business expansion to the joint development of a regional SME ecosystem, gradually transforming the region into an economic corridor with deep integration of capabilities, resources, and systems.
ASME Singapore President Ang Yuit also expressed strong support for the complementary development model between Johor and Singapore. He said Malaysia offered abundant land and broad development space, while Singapore had clear strengths in technology, systems, and international connectivity.
“Johor and Singapore SMEs are not competitors, but partners with a solid foundation for collaboration and shared growth. Through organised and institutionalised cooperation mechanisms, businesses can leverage their respective strengths more efficiently and sustainably in cross-border development,” he said.
Under the MOU, both parties agreed to collaborate in three key areas: promoting mutual member privileges to enable SMEs from both sides to access each other’s business networks and platforms; organising joint forums, seminars and exchange activities to strengthen knowledge sharing, improve decision-making and reduce trial-and-error costs; and exploring cross-border markets by establishing trusted development pathways to support SMEs in expanding more steadily into regional and international markets.
