Malaysia Residence by Investment

MM2H is a government-approved long-term residence programme administered by the Ministry of Tourism, Arts and Culture. It allows qualifying foreign nationals to reside in Malaysia on a 10-year renewable social visit pass. The programme is designed for individuals seeking a second home in Malaysia and requires participants to maintain a fixed deposit in a Malaysian bank and meet minimum income thresholds. MM2H does not constitute a work permit — it is a social visit pass that permits residence but not employment in Malaysia.

The revised MM2H requirements introduced in 2021 significantly increased the financial thresholds. Applicants aged 35-49 must place a fixed deposit of MYR 1,000,000 in a Malaysian bank, while those aged 50 and above must deposit MYR 500,000. All applicants must demonstrate liquid assets of at least MYR 1,500,000 and prove offshore income of MYR 40,000 per month. These revised thresholds replaced the previous, substantially lower requirements, repositioning the programme to attract higher-net-worth individuals.

The MM2H social visit pass does not include work rights. Holders cannot engage in employment in Malaysia under the terms of the pass. However, MM2H holders may establish a business in Malaysia subject to obtaining the necessary business licences and regulatory approvals. Remote work for foreign employers using foreign-sourced income is generally not restricted, though participants should seek specific legal advice regarding their individual circumstances.

Yes. Under the revised 2021 requirements, MM2H holders must spend a minimum of 90 cumulative days per year in Malaysia. This requirement was introduced to ensure participants maintain a genuine connection to the country. Failure to meet the minimum stay may jeopardise the renewal of the social visit pass. The 90 days need not be consecutive — they can be accumulated across multiple visits throughout the year.

Yes. MM2H holders are permitted to purchase residential property in Malaysia, subject to the minimum purchase price thresholds established by each state. In most states, the minimum property value for foreign buyers is MYR 1,000,000, though some states apply higher or lower thresholds. After maintaining the fixed deposit for one year, MM2H holders may apply to withdraw up to 50% of the deposit for approved purposes, including property purchase. This provision makes property acquisition a practical component of the MM2H experience.

Malaysia does not tax foreign-sourced income, making MM2H particularly attractive for individuals with offshore earnings and investments. Interest earned on the fixed deposit in Malaysia is subject to Malaysian income tax. If the MM2H holder becomes a Malaysian tax resident — generally by spending 182 or more days in Malaysia in a calendar year — Malaysian-sourced income will be taxed at progressive rates. Professional tax planning advice is recommended to optimise the tax position.

Yes. The MM2H application may include the applicant’s spouse and unmarried children under the age of 21 as dependants. Each dependant receives a social visit pass valid for the same duration as the main applicant. Parents of the main applicant may be sponsored under a separate arrangement. Dependent children over 21 must apply independently if they wish to obtain their own MM2H status.

The MM2H application process typically takes three to six months from initial submission to the endorsement of the social visit pass. After submission, the Ministry evaluates the application and issues a conditional approval letter. The applicant then has six months to fulfil the conditions — opening the fixed deposit account, obtaining medical insurance, and completing the medical examination in Malaysia. Processing times may vary depending on the completeness of the documentation and the volume of applications under review.

MM2H does not directly lead to permanent residence or Malaysian citizenship. It is a social visit pass, not a permanent residence permit. Malaysia does offer permanent residence through separate pathways, and citizenship is possible through naturalisation after extended residence, but these are distinct processes with their own requirements. MM2H holders who wish to explore permanent residence should consult with qualified immigration advisors regarding the available pathways and eligibility criteria.

Applicants must provide a valid passport with a minimum remaining validity of 12 months, completed application forms, passport-standard photographs, bank statements for the preceding three months demonstrating the required liquid assets, proof of monthly offshore income of MYR 40,000 or more, a police clearance certificate from the country of origin, a cover letter detailing the reason for applying, and a personal bond. Medical insurance from a Malaysian-registered insurer and a medical report from a Malaysian practitioner are required upon conditional approval. All documents must be certified and translated into English or Malay where necessary.