Johor Bahru:Johor The enhanced Global Services Hub (GSH) tax incentives under Budget 2027, such as a five percent tax rate on qualifying income for eligible new companies, are expected to strengthen Johor's appeal as a regional business hub, according to Iskandar Investment Bhd (IIB).

According to BERNAMA News Agency, IIB emphasized that these measures are particularly relevant to the Johor-Singapore Special Economic Zone (JS-SEZ). The GSH incentives aim to help Malaysia compete for more than just back-office activities by attracting regional functions involving finance, technology, data, compliance, customer operations, and business management. These functions involve crucial business decisions and higher-value work.

IIB, which is 60 percent-owned by Khazanah Nasional Bhd, plays a vital role in spearheading the strategic development of Iskandar Malaysia, with a primary focus on Iskandar Puteri. The company's president and CEO, Datuk Idzham Mohd Hashim, stated that Budget 2027 enhances Johor's attractiveness for investments, especially in higher-value regional business operations.

Budget 2027 fosters a more compelling investment environment in Johor through its incentives, advancing connectivity, and focusing on talent. IIB's role is to facilitate the transition from investor interest to establishing operations that employ Malaysians, build local linkages, and create enduring value.

Additionally, IIB highlighted measures to improve connectivity and homeownership, including support for public transport enhancements in Johor Bahru. There is also an expanded Housing Credit Guarantee Scheme of up to RM20 billion to assist 80,000 first-time homebuyers, along with stamp duty relief for eligible first-home purchasers from 2027 to 2030.