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Malaysia is changing drastically. Today,
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I'm going to reveal the truth why most
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foreigners who visit Malaysia never end
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up staying in the country. Over the past
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5 years, Malaysia has undergone some
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major shifts. And the reality is that
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expats are planning to leave before
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2030. So, why is it that they're
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ditching Malaysia? And where are they
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going to find the freedom that they're
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desperately looking for? Today, I'm
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going to reveal it all. By far one of
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the biggest reasons why expats end up
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not staying in Malaysia is because of
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the recent changes that were applied to
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the Malaysia My Second Home program. The
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whole fiasco started during the past
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health crisis where many foreigners,
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those who were on the Malaysia my second
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home pass were informed that they are no
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longer able to remain in the country
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under the old requirements. The
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government had announced that the new
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requirements published during the past
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health crisis would also apply to
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existing passholders. Naturally, this
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announcement created a lot of
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dissatisfaction among Malaysia my second
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home passholders. Not too long ago, the
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MM2 program was labeled as one of the
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most friendly ways for foreigner to
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remain in Southeast Asia for the long
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term. digital nomads, foreign investors,
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retirees, families, you name it. So many
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people ended up choosing the Malaysia My
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Second Home program because it was
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associated with credibility, stability,
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and peace of mind. Needless to say, the
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perception of the Malaysia My Second
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Home program has changed drastically
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over the past number of years, forcing
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foreigners to look into different
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alternatives in Southeast Asia as well
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as in different geographic locations.
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The Malaysia Mexican home program was
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designed to attract foreigners to the
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region for the long term, offering very
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low barrier of entry residency programs.
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Fast forward to today, people looking to
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apply for the Malaysia My Second Home
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program are now required to prove an
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income of at least 40,000 ringit per
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month. The income requirements have
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quadrupled over the past number of
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years, only accepting the wealthiest of
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expats. If you want to qualify for the
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Malaysia Mexican home program in 2025,
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you are required to prove the following
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liquid assets totaling at least 1.5
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million ringit, which is the equivalent
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of
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$340,000. On top of that, you are
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required to maintain a fixed deposit of
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a million ringit in a Malaysian bank
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account. As you can see, these changes
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truly represent a sharp increase when
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compared to the previous requirements
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that were so much more foreigner
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friendly. The changes the government
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applied to this very program really
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created the following. Reduced
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accessibility due to the elevated income
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and net worth requirements. Fewer people
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are able to qualify for the Malaysia my
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second home program than before. While
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alternate programs like the Sarowak
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Malaysia Mexican home program as well as
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the Jurabaru Malaysia Mexican home
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program offer more relaxed income and
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net worth requirements. People looking
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to settle down in the peninsula, meaning
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West Malaysia, except for Joabaru, are
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now required to have more money than
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ever. Many middle-class expats and
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retirees can no longer meet the Malaysia
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My Second Home program requirements, and
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they are now forced to look into
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different programs in the region. Then
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there's the argument that the
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announcement that was made during the
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past health crisis created disruptions
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for existing Malaysia Mexican home
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passholders as they were informed that
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the new changes would also apply to
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them. Even though well before the new
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program was announced, existing
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passholders were promised that the new
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requirements would not apply to them.
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And of course, the government reversed
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course stating that the new requirements
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would not apply to existing Malaysia
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second home passholders. However, this
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announcement happened after the new
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changes were announced and the
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government had told that actually
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existing passholders have to meet the
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new requirements as well. You see, there
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was a lot of confusion surrounding
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Malaysia Mexican home program and it is
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just less accessible today than it was
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10 years ago. The reputational damage
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cannot be ignored. I truly believe that
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Malaysia was once seen as a reputable
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and hospitable place for foreigners from
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all backgrounds, all walks of life as as
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well as ethnicities to come to Malaysia
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and apply for this fantastic program.
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The sudden policy reversals and the
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quadrupled income requirements, the
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elevated net worth requirements and
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other changes that were made to the
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program just make it less appealing than
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it used to be. This is why expats are
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looking to leave Malaysia before 2030
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because they realize that more relaxed
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visa and residency programs are
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available in Latin America, including
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Panama, Uruguay, and Paraguay. Countries
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with more stable residency programs that
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haven't really changed a whole lot over
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the past number of years. Malaysia is in
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some kind of economic challenges,
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including lower wages. While those
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earning their income in US dollars,
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euros, and British pounds are usually
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blessed because they can spend the
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foreign currencies in Malaysia, the
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citizens of Malaysia have it much
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harder. The depreciation of the
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Malaysian ringot cannot be ignored. Not
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too long ago, more than 10 years ago,
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the Malaysian ringit used to be much
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more stable. $1 used to equal three
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Malaysian ringit. Naturally that the
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appreciation of the Malaysian ringit
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reduces the purchasing power of its very
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citizens which of course creates a lot
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of dissatisfaction surrounding
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foreigners. Those who bring the foreign
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currencies with them into Malaysia
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enjoying greater purchasing power.
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Overall the rise in cost of living is
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another reason why expats are looking to
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depart Southeast Asia specifically
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Malaysia before 2030. Urban centers like
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Gual Lumpur and Pinang have seen sharp
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increases in the cost of living over the
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past number of years. And the truth is
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that salaries have not kept pace. Not
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only putting pressures on citizens but
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also expatriots who earn their money in
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Malaysian ringot. Well, Malaysia has
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contributed tremendous effort toward
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innovating the country, including
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offering the Malaysia Tech Entrepreneur
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a program that is put in place to
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attract highly skilled labor to the
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country, specifically those looking to
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start innovative businesses in the
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country, including green energy
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business, businesses associated with
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cryptocurrencies, artificial
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intelligence, among many others. But the
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truth is that better Korean business
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opportunities remain in other countries
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including Singapore, the United States
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of America, and Australia. It is harder
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for skilled immigrants to immigrate to
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Malaysia than it was a couple of years
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ago. However, Malaysia needs skilled
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immigration to not only bring new
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investment into the country, but offer
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more skilled jobs and better business
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opportunities to its own citizens. So I
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believe that by tightening visa
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requirements and perhaps not offering
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optimal residency options for
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entrepreneurs as well as startup
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entrepreneurs, Malaysia isn't doing as
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much as it could. The post-pandemic
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discontent is another reason why expats
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are leaving Malaysia before 2030.
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Inconsistent and confusing policies were
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implemented during the past health
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crisis, including those that were
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associated with entry requirements for
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foreign expats looking to return to
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Southeast Asia during the past health
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crisis. Many expatriots, including those
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holding long-term visit passes to
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Malaysia, were not allowed entry during
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certain times over the past health
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crisis. If we compare the situation to
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countries across the globe who allowed
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their citizens as well as residents to
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return, Malaysia made it a lot harder to
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get back into the country. There were
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vaccine requirements. There were
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quarantine requirements. There were a
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lot of mandates in place. And so
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naturally, foreigners were confused
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about the direction Malaysia would take
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postalth crisis. And some of the
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confusion still remains within the
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general population as well as expatriots
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to Malaysia wondering how their
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authorities will respond during the next
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crisis. And it doesn't have to be a
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health crisis. It could be any crisis.
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There are some serious environmental
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considerations that Thoringers must
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focus on before immigrating to Malaysia
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for good. Malaysia is facing an
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abundance of environmental challenges in
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the 21st century and it's one of the
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biggest reason why expatriots and also
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those who visit Malaysia end up not
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staying in the country. Malaysia is a
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beautiful place. It offers an abundance
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of different cultures. It is home to
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mixed ethnicities. It's one of the most
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hospitable countries in the entire
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world. I believe it still is. However,
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there are some real environmental
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concerns that you must know about before
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moving to Malaysia. Malaysia is home to
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one of the highest humidity percentages
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and averages across the globe. While
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high temperatures, including high
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humidity, are definitely appealing to
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expats looking to escape cold winters.
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Not everyone will be able to cope with
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the high humidity and the high
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temperatures throughout the year. The
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country offers very little
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diversification in climate, making it
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really only ideal for those looking to
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live in the tropics year round. Fatigue,
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dehydration, and respiratory diseases
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are very prominent in the Southeast
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Asian country. Outdoor activities often
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require severe adjustments to avoid
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exercising during the midday. A very
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serious concern is air pollution and
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haste. Something that has been more and
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more prominent across Southeast Asia.
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Obviously, haste limits outdoor
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activities, especially if you want to
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avoid the worst case scenario, which is
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ending up in a hospital. Seasonal haze
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is very common in the Southeast Asian
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country, which is primarily due to
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forest fires coursed in neighboring
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countries, including Indonesia. Noise
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and air pollution are two very prominent
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reasons why expatriots decide to leave
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Malaysia. Malaysia is a majority Muslim
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country and it also practices Sharia
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law. There's limited availability for
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pork products in certain regions
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throughout the country. And of course,
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there's also restrictions on public
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behavior that you must comply with if
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you live in Malaysia for the long term.
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Drug offenses carry severe punishments
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throughout Malaysia as well as other
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Muslim countries. On the positive side,
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in many regards, Malaysia is a very
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disciplined country. Jaywalking,
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littering, and other public offenses are
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taken as very serious. There has been a
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massive corruption scandal that happened
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in Malaysia during the past
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administration. The very top government
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official of Malaysia was jailed for
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corruption, obviously creating a very
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negative image surrounding Malaysian
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politics. While these things have
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happened in other countries in Southeast
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Asia, the recent punishment of former
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prime minister is definitely one of the
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hardest sentences an Asian politician
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received over the past number of years.
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High-profile scandals are all too common
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across the entire globe, not just
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Southeast Asia. Politics is becoming
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more corrupted than ever before. Not
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just in Southeast Asia, but in Europe,
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North America, as well as Latin America.
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Now that we talked about the main
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reasons why expats will leave Malaysia
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before 2030, where will they move
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instead? Where can you move to preserve
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more freedom? Panama and Paraguay are
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two countries in Latin America that are
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perceived as more politically stable and
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more tax friendly than Malaysia. Both
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countries offer territorial tax systems,
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allowing you to consume overseas income
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tax-free, while being a resident of
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either Paraguay or Panama. Countries
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with territorial tax systems are not
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very common. But these two smaller Latin
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American countries offer very good tax
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breaks to firsttime residents. But not
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only firsttime residents can benefit by
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moving to these Latin American
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countries. Also people from all walks of
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life, including retirees, digital
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nomads, entrepreneurs, investors, as
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well as families. Uruguay and Costa Rica
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are two very politically stable
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countries located in Latin America that
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also offer residency by income. But
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don't worry, you're not required to
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prove an income of 8 to $10,000 a month.
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You can immigrate to Uruguay
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successfully by proving an income of
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just $1,700 a month. Out of all the
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countries that we mentioned now, Costa
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Rica has the highest income requirement,
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but is a very popular retirement spot
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for North Americans. You can move to
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Paraguay without proving economic
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solveny. It is one of the very few
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countries in the entire world that
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allows you to immigrate without starting
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a business, without having some kind of
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passive income, without contributing to
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its economy. You are required to have a
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clean criminal record to immigrate to
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Paraguay successfully. How can you
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become a resident of Panama? You can
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either a incorporate a Panameanian
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corporation sponsor yourself, get a work
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permit, pay your payroll taxes in
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Panama, or you could work for a
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Panameanian corporation that you don't
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own. Another option would be to qualify
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for Panama's retirement visa, assuming
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you have an income of at least $1,000 a
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month. You see, the income requirements
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that we're talking about in this video
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surrounding Paraguay, Uruguay, Panama,
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and Costa Rica are so much softer than
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the income requirements of Malaysia.
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Plus, in many of these countries, you
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can obtain permanent residency more
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easily than in Malaysia. To become a
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citizen of one of the countries that I
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just mentioned, you have to meet all
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requirements, including having lived in
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the country for at least 183 days for
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three consecutive years on permanent
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residency. You must also meet all
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language and history requirements that
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are applicable. Now, if you're
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interested in relocating to one of the
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countries that I just mentioned, please
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book a consultation with me now. Go to
00:14:20
nomad.com and click on book a
00:14:22
consultation. I look forward to
00:14:24
consulting you on the best options for
00:14:27
your future. Thank you so much for
00:14:29
watching Nomad Elite. I truly appreciate
00:14:31
you and I look forward to welcoming you
00:14:33
to the next video.
