Johor Bahru has been crowned one of the top cities in Malaysia for start-ups and investment by BEAMSTART (www.beamstart.com). It was noted in their appraisal that the city is an “untapped opportunity” for start-ups, with many companies providing training in the digital and technology sectors. That, coupled with a growing presence of co-working spaces, plus a proximity to Singapore, makes the city a springboard for fledgling start-ups in the tech industry.
The current start-up scene is populated mostly by university graduates in their 30s or younger. While the services and facilities for new firms may not be as plentiful as those in Malaysia’s larger cities, the start-up scene is stoked by enough government-sponsored programs, including the Iskandar Johor Project. Established in 2006, the project created a development corridor which has been predicted a population of nearly 3 million people by 2025. Developed as a Smart City, the Iskandar Johor Project focuses on the growth, funding and acceleration of projects around “Smart” initiatives including economy, government, environment, mobility, people and living. Program sectors cover land grants and other opportunities, including electronics, petrochemical, agro-processing, logistics, tourism, creativity, healthcare and finance. The program is fully funded and managed by the Iskandar Regional Development Authority.
In addition to government-funded programs in the city, Johor Bahru also pioneers start-up events and networking activities for the city’s growing young entrepreneurial population. Facilities dedicated to training young entrepreneurs is one such scheme in construction, with support from the Iskandar Regional Development Authority.
While the current start-up and investment scene in Johor Bahru is fragmented, the city’s rapid response to change is attractive enough for investors seeking hassle-free business within the city. Keen foreign investors from a wealth of industries have plenty to gain from the soaring infrastructure, local talent, training opportunities and geographic advantage of Johor Bahru.