JOHOR BARU: GBS Iskandar, a programme managed by i2M Ventures Sdn Bhd — a wholly-owned subsidiary of Khazanah Nasional Bhd — is set to capitalise on the government’s promotion of the global business services (GBS) sector under Johor’s Budget 2017.
The Medini 7 building, currently tenanted by Frost & Sullivan, is set to obtain the Multimedia Super Corridor status soon, i2M managing director Zulfiqar Zainuddin told reporters during a media tour here yesterday. He added that a Singapore-listed company is expected to announce the opening of a centre of excellence in Iskandar Puteri here to support the Asean region in early December, but did not elaborate.
GBS Iskandar is a specialised programme developed in collaboration with the federal and Johor governments to facilitate local and foreign companies in setting up their GBS operations in Iskandar Puteri. Launched in April this year, the programme has achieved RM1.2 billion in investments and attracted eight multinationals so far, most recently global corporate services provider Vistra SB in September to support the multinational’s operations in Singapore.
Not-for-profit i2M — established in 2013 to facilitate the relocation of GBS Iskandar operations to Iskandar Puteri — aims to attract RM6.5 billion in investments to the area and create 14,000 high-value jobs by 2020. However, it has since found that it needs to be more active in engaging stakeholders such as the Johor State Investment Centre, Malaysian Investment Development Authority, Malaysian Digital Economy Corp, TalentCorp and Outsourcing Malaysia.
Zainuddin said GBS Iskandar’s main value propositions are its close proximity to Singapore and availability of talents. Firms investing here also stand to gain a 10-year tax exemption under the Iskandar Regional Development Authority.
The proposed RM55 billion East Coast Rail Link is expected to facilitate the speed of movement in and out of the Iskandar Malaysia region, he added. Zainuddin also said i2M plans to set up talent reskilling and upscaling centres. The plans are expected to be finalised within the next three to six months.
He also noted that Hong Kong-listed Country Garden Holdings Co Ltd’s Forest City project nearby will complement GBS Iskandar. “If you look at the focus areas today, we are currently the only location within Iskandar Malaysia that is focusing on GBS. That requires not only infrastructure development but [also] an understanding and development of the entire ecosystem,” Zainuddin added.