Singapore and Malaysia reaffirm ties at 12th Leaders’ Retreat

The retreat saw Prime Minister Lawrence Wong and Prime Minister Dato’ Seri Anwar Ibrahim discussing outstanding bilateral issues, economic cooperation, connectivity, environmental concerns, and people-to-people links.

Lawrence Wong, Prime Minister of Singapore and Dato’ Seri Anwar Ibrahim, Prime Minister of Malaysia met in Singapore on 4 December 2025 for the 12^th Singapore-Malaysia leaders’ retreat. The leaders reaffirmed the mutually beneficial bilateral relationship and commended the positive and regular exchanges at various levels. Marking 60 years of diplomatic relations, they renewed their commitment to strengthen cooperation across multiple domains.

Both leaders agreed that outstanding bilateral issues should be resolved amicably and constructively, in a spirit of mutual respect and in line with international law. They committed to making progress on operational aspects of these issues while continuing to identify areas of shared interest and potential cooperation.

Economic and public sector cooperation

The leaders expressed satisfaction with what they called the "robust" bilateral economic relationship, noting strong trade and people-to-people links. Malaysia and Singapore remain each other’s second-largest trading partners, with bilateral trade reaching USD78.70bn from January to October 2025, accounting for 13.5% of Malaysia’s total trade.

They welcomed the ratification of the Johor-Singapore Special Economic Zone (JS-SEZ) agreement and the progress made since its signing in January 2025. Singapore’s JS-SEZ Project Office and Malaysia’s Invest Malaysia Facilitation Centre-Johor have supported businesses expanding into the JS-SEZ. Two joint investment forums were held this year, with Singapore-based companies committing over S$5.5mn in investments as of October 2025. The leaders noted that the JS-SEZ will enhance both countries’ appeal to global investors and help create good jobs.

The leaders also highlighted public sector collaboration, including the 10_^th joint seminar and 41^st public service games held in Singapore in July 2025, which strengthened ties between public sector leaders.

Digital, green economy and environmental cooperation

Both leaders welcomed progress in the digital and green economy, including the successful linkage of Singapore’s PayNow and Malaysia’s DuitNow for real-time cross-border payments. For the green economy, they noted progress towards a binding government-to-government agreement on cross-border carbon capture and storage by 2026 and ongoing discussions on carbon credits under Article Six of the Paris Agreement.

Bilateral cooperation on transboundary environmental issues continues through the Malaysia-Singapore Joint Committee on the Environment (MSJCE). In September 2025, the committee discussed vehicular emissions, water quality monitoring, emergency responses to chemical and oil spills, exchange information on the ecology and morphology, and land reclamation works affecting the Straits of Johor. The leaders also acknowledged the long-term challenge of sea-level rise and agreed to explore cooperation on coastal resilience and adaptation.

Connectivity and transport

On this front, the leaders commended progress on cross-border connectivity, including the Johor Bahru-Singapore Rapid Transit System Link (RTS link). They welcomed the signing of the supplementary agreement to facilitate co-located CIQ facilities, targeting service commencement by the end of December 2026. Discussions are ongoing to enhance the Cross-Border Taxi Scheme and other passenger services, alongside improvements to immigration clearance systems and checkpoint infrastructure, including plans to redevelop Woodlands Checkpoint.

The leaders agreed to refresh the Joint Ministerial Committee for Iskandar Malaysia into a more comprehensive Johor-Singapore Cooperation Ministerial Committee (JSCMC) to provide strategic direction, strengthen coordination, and oversee priority initiatives under the JS-SEZ.

Water, airspace, and maritime boundaries

The leaders reaffirmed their commitment to the 1962 Johore River Water agreement and encouraged ongoing engagement through the Joint Technical Committee to safeguard water yield, quality, and resilience. They also agreed to review delegation arrangements for air traffic services over Southern Peninsular Malaysia, in line with ICAO standards, and tasked transport ministers to conduct a joint study on flight procedures and traffic optimisation.

On maritime boundaries, both countries have increased the frequency of meetings under the Malaysia-Singapore Joint Technical Committee and related technical working groups to determine the international boundary in the Johor Strait. Progress has been made through five meetings and necessary fieldwork, demonstrating a shared commitment to a well-managed boundary.

Defence, security, and transnational crime

Singapore and Malaysia maintain strong defence cooperation through bilateral military exercises and multilateral frameworks such as the Five Power Defence Arrangements (FPDA), ASEAN Defence Ministers’ Meeting (ADMM), and more. The leaders highlighted the Arrangement for Mutual Submarine Rescue Support signed in August 2025.

Both leaders welcomed the establishment of the Malaysia-Singapore Joint Working Committee (JWC) to prevent and combat transnational crime, with the first meeting held in Kota Kinabalu in November 2025, signalling commitment to strengthen bilateral security cooperation.

People-to-people links and cultural cooperation

The leaders reaffirmed shared heritage and cultural links, including a joint nomination to inscribe Chingay onto the UNESCO Representative List of Intangible Cultural Heritage of Humanity. They also welcomed the Malaysia-Singapore Triennial Cultural Showcase held in Johor in November 2025.

Educational cooperation was strengthened through the successful pilot of the Malaysia-Singapore English Volunteers Programme from August to September 2025. Both sides look forward to opening Singapore’s consulates in Sabah and Sarawak to further deepen economic and people-to-people ties.

The leaders also exchanged MOUs on health cooperation, youth and sports, and mutual recognition of Halal certification.

Looking ahead

The leaders concluded the retreat by reaffirming their commitment to advance the bilateral relationship across multiple domains, including economic, social, environmental, and security cooperation. Both leaders highlighted the importance of ensuring ASEAN remains cohesive and forward-looking. PM Wong congratulated PM Anwar on Malaysia’s successful ASEAN Chairmanship and strong leadership. Both leaders looked forward to Malaysia hosting the 13^th leaders’ retreat.

Lead image / Lawrence Wong Facebook