Transport Minister Anthony Loke said the railway networks under Keretapi Tanah Melayu Bhd (KTMB) could be opened up to other operators within the next two years.
He gave assurance that the government will consult with relevant stakeholders before making any decisions.
Loke said this on Monday after he was presented with the final report on the Malaysian Transportation System by Japanese ambassador Makio Miyagawa.
The year-long study by Japanese transport experts was done following a request made by Prime Minister Tun Dr Mahathir Mohamad to Japanese Prime Minister Shinzo Abe during his visit to Japan last June.
On Oct 17, Dr Mahathir said the government is proposing to liberalise the use of over 1,900km of rail network here which is underutilised, particularly to ferry large and heavy freight.