Since its introduction in 2002, the Malaysia My Second Home (MM2H) programme initiated by the Malaysian government has attracted over 50, 000 foreigners to live in Malaysia on multiple-entry social visit pass.
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It was recently announced that despite stricter conditions in the last two years, the renewable five-year visas under MM2H still saw 2,164 applications between November 2021 and September 2023, with 1,905 or 88% of the applicants approved.
Meanwhile, the other Premium Visa Programme (PVIP) launched by the Home Ministry and the Immigration Department in September 2022 also saw 28 approved applications to date, with the other 29 applications also recommended for approval.
According to data provided by the Tourism, Arts and Culture Ministry, between 2002 and 2019 participants from China accounted for the majority (32.8%) of those who were granted MM2H status, followed by Japan (10.6%) and Bangladesh (8.9%).
The Prime Minister of Malaysia, Datuk Seri Anwar Ibrahim, also announced during his Budget 2024 speech that the Government will look into easing existing conditions for the application of the MM2H programme.
“The improvement of MM2H is expected to increase investment activities in the Malaysian financial market and the country’s real estate industry,” he said.
This is a positive sign for the visa programme and the Malaysian government’s stance on welcoming expatriates to make their home and to invest here.
Among factors that have made MM2H an attractive option for foreigners is what Malaysia has to offer in terms of affordability of world-class education, award-winning healthcare, as well as multi-lingual and multi-cultural society. Our tropical climate, established rule of law, and affordable property market in comparison to the rest of Southeast Asia also stands out.
Investing in property in Malaysia and Kuala Lumpur is expected to become even more ideal as the Government increases its focus towards boosting homeownership and infrastructure developments in 2024.
Previously all applicants must have a minimum RM1 mil fixed deposit. Now there are three categories of visas. (Photo: imidaily.com)
Understanding the MM2H Program
The Malaysia My Second Home (MM2H) program is a unique initiative by the Malaysian government aimed at attracting foreign nationals to live, invest and enjoy retirement here in Malaysia. MM2H offers eligible participants a multiple-entry social visit pass, allowing them to remain in Malaysia for up to an initial duration of five years, with the option of renewal.
Other benefits and incentives include:
-Eligibility to register a limited company.
-Tax exemption on pensions or income remitted into Malaysia from overseas. Interest earned on income sitting in Malaysian accounts are also exempted.
-International education options available for dependent children under 18 years old.
-Eligibility to purchase residential and commercial properties in Malaysia at much more affordable prices compared to other Southeast Asian countries, with a competitive tax rate. Foreigners under MM2H are also eligible to obtain property loans.
-Eligibility to apply for a domestic helper to assist with household needs.
Eligibility Criteria for MM2H
To be eligible for the MM2H program, applicants must meet certain criteria, as outlined in the official MM2H programme website. Here’s a summary of key criteria:
1. Financial Requirements: In 2021, it was declared that applicants were required to have permanent savings of at least RM1 million and a declaration of liquid assets of at least RM1.5 million. They must also have an offshore income of at least RM40,000 per month. From December 2023, there is a new update featuring a three-tier system with varying requirements.
2. Medical Insurance: Applicants and their dependents must possess valid medical insurance that covers them during their stay in Malaysia.
3. Background Check: Applicants and their dependents should have a clean criminal record in both their home country and Malaysia.
4. Financial Support: Applicants are required to show proof of sufficient financial support to sustain themselves in Malaysia.
5. Investment Requirement: As an option, applicants are required to place a fixed deposit in a Malaysian bank. The amount required depends on the applicant’s age and other factors.
6. Health Examination: Applicants and their dependents must undergo a health examination.
7. Age categories: Applicants are divided into two age categories, between 30 and 49 years, and 50 years and above.
If you’d like to find out more about MM2H and your eligibility to apply if you invest in 8 Conlay’s YOO8 serviced by Kempinski, contact us here.