Malaysia Compensates Singapore US$76million After Cancelling KL-Singapore HSR

Malaysia has compensated Singapore over US$76 million after terminating the KL-Singapore High-Speed Railway (HSR) project, according to CNA on 29 March.

The project was officially abandoned in early January 2021 due to disagreements between the two governments, especially over high costs and Malaysia’s political issues. (Read more)

However, Singapore had already signed and published five tender contracts for work on its side of the line, which is why Malaysia is required to provide compensation for those costs.

According to the same source, the US$76 million compensation will be paid for the consulting services fee, as well as the infrastructure design and manpower fee that have already been spent.

The 350km rail line was intended to cut travel time from 7 hours to just 90 minutes but came at a cost of US$27.3 billion and build time of over 10 years.

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