New tax incentives aim to strengthen Johor's role as a regional business hub
Iskandar Investment Bhd says the enhanced Global Services Hub incentives in Budget 2027 will boost Johor’s attractiveness for regional operations, especially in the Johor-Singapore SEZ.
Iskandar Investment Bhd (IIB) welcomed the Global Services Hub incentives introduced in Budget 2027, describing them as a catalyst for positioning Johor as a competitive regional business hub. The package provides a lower tax rate on qualifying income for newly established companies that meet eligibility criteria. IIB emphasized that the incentives are particularly pertinent to the Johor-Singapore Special Economic Zone, where they can attract finance, technology, data, compliance and customer-operations functions that involve higher-value work.
The company, 60% owned by Khazanah Nasional Bhd, said it is prepared to assist investors in converting interest into on-the-ground operations that create jobs and local linkages. In addition, IIB highlighted related measures to improve public transport in Johor Bahru, expand a housing credit guarantee scheme to support first-time buyers, and offer stamp-duty relief for eligible home purchasers from 2027 to 2030.
Why it matters
The incentives could draw higher-value businesses to Johor, creating jobs and boosting the region’s economic integration with Singapore.
How the sides frame it
HIGH AGREEMENTBoth centrist and right-leaning coverage describe the same 5% tax incentive and its aim to boost Johor’s role as a regional business hub, with only minor wording differences.
CENTER
The incentives are presented as a catalyst to position Johor as a competitive regional hub, emphasizing job creation and support for investors.
RIGHT
The incentive is portrayed as a tool to attract Global Services Hub firms, highlighting investment totals and ambitious job-creation targets.
The right emphasises
- five-percent tax rate for new Global Services Hub enterprises
- RM132 billion invested in the zone between 2025-June 2026
- goal of over 200,000 inclusive jobs by 2030 and RM8 billion for technical education
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