Edited by: Sheera Abg Mansor
KUCHING: The East Coast Rail Link’s (ECRL) resumption has been viewed as a huge relief to Malaysia, and with this latest development, more infrastructure projects are expected to be revived.
Last week, Malaysia Rail Link Sdn Bhd (Malaysia Rail Link) announced calls for tenders to the local contractors for the Civil Works packages of the ECRL will commence in the fourth quarter of 2019, as a total of 331 Malaysian construction companies have been shortlisted as potential tenderers following the recent Pre-Qualification (Pre-Q) exercise.
It said in a statement, as quoted in Borneo Post, the 640km rail network is scheduled for completion by December 2026 and expected to link Kota Bharu to Putrajaya in approximately four hours.
The research arm of MIDF Amanah Investment Bank Bhd (MIDF Research) previously forecasted that the RM44 billion railway project will contribute 2.7 percent to Malaysia’s economic growth partly by jobs creation, opening up new areas, foreign direct investment, increase external trade activities and strengthening domestic demand.
However, it added that, the full estimated gross domestic product (GDP) contribution will depend on the pace of spillover effects to other economic sectors while compensation of employees and net operating surplus are projected to rise by 3.6 percent and 2.1 percent respectively.
Source: Borneo Post