Singapore and Malaysia have agreed to new build a high-speed rail link by 2020 to improve connectivity between the two countries, according to Railway Technology.
The new rail link between Singapore and Kuala Lumpur is expected to cost between MYR20b ($6.4bn) and MYR30bn ($9.6bn), and should reduce the 315km rail journey between the cities from six hours to around 90 minutes.
It currently takes around six hours by train to cover the 315km distance between the two cities, and four hours by road.
Singapore Prime Minister Lee Hsien Loong and Malaysian Prime Minister Mohd Najib Tun Abdul Razak said in a joint statement that the project is a strategic development in bilateral relations that will improve the connectivity between Malaysia and Singapore.
"It will facilitate seamless travel between Kuala Lumpur and Singapore, enhance business linkages, and bring the peoples of Malaysia and Singapore closer together," the statement said.
Details about the project costs, the route and construction schedule have yet to be revealed.
The countries have made the Iskandar Malaysia Joint Ministerial Committee (JMC) responsible for finalising the details and modalities of the high-speed rail link.
Malaysian Prime Minister Mohd Najib Abdul Razak said that the new high-speed rail link would be built by a public-private partnership along with government participation.
"It will be on the basis of private sector funding with the government providing structural support and participation," Razak said.
Singapore Prime Minister Lee Hsien Loong said the project would create a faster travel link between Kuala Lumpur and Singapore by rail than by air, including waiting time.
The two countries are also planning to build a new rapid transit link between Singapore and the Malaysian city of Johor Bahru.