TheJakartaPost
Please Update your browser
Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.
Malaysia to acquire trains through $2.4 billion leasing deal with China
In the first phase from 2024 to 2027, the government aims to acquire 62 new passenger train sets at an estimated cost of 10.7 billion ringgit ($2.4 billion) to be paid in installments over a 30-year lease period, Minister Anthony Loke told reporters.
Change text size
Gift Premium Articles
to Anyone
Share the best of The Jakarta Post with friends, family, or colleagues. As a subscriber, you can gift 3 to 5 articles each month that anyone can read—no subscription needed!
Then-Malaysian Prime Minister Najib Razak (2nd R) prays in front of a train model prior to a signing ceremony between the Malaysia Ministry of Transport and China's CSR Corp rail company in Kuala Lumpur on September 24, 2012. The Malaysian government signed an agreement with China's CSR group to encourage and promote technical co-operation in advanced railway engineering and technology. (AFP/Saeed Khan)
M
alaysia plans to pursue a $2.4 billion deal toacquire new passenger trains for state rail company Keretapi Tanah Melayu Berhad (KTMB) via a leasing agreement with China, the transport minister said on Wednesday.
In the first phase from 2024 to 2027, the government aims to acquire 62 new passenger train sets at an estimated cost of 10.7 billion ringgit ($2.4 billion) to be paid in installments over a 30-year lease period, Minister Anthony Loke told reporters.
"The actual cost will be finalised following the completion of negotiations with the Chinese government in the near future," Loke said, adding the leasing costs would include maintenance, repair and operations services by the train suppliers.
Almost 90 percent of passenger trains currently in KTMB's network were manufactured by China Railway Rolling Stock Corporation (CRRC), Loke said.
The government says the deal would help to cut down acquisition times and improve track utilisation, with local services requiring urgent upgrades due to availability and reliability challenges, Loke said.
