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LIVING IN MALAYSIA IN 2025

Living in Malaysia as an Expat in 2025

Malaysia in 2025 is experiencing significant shifts across politics, climate, and socio-economic issues:

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Political Landscape

  • Fiscal Reforms – The government is implementing soft fiscal tightening, aiming for a 3.8% deficit-to-GDP ratio.

  • Tax Changes – Expansion of sales and service tax (SST) to luxury goods and introduction of a 2% dividend tax on high-income earners.

  • Social Protection – Targeted cash assistance programs and pension improvements, though gaps remain for informal workers.

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Climate & Environmental Trends

  • Extreme Weather – Malaysia is facing more intense rainfall and droughts, affecting agriculture and infrastructure.

  • Flood Risks – Rising sea levels and inadequate drainage systems are increasing flood risks in urban areas.

  • Green Energy Transition – The government is promoting solar energy adoption through incentives like Net Energy Metering (NEM 3.0).

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Socio-Economic Shifts

  • Food Security Concerns – Malaysia imports 70% of its food supply, making it vulnerable to inflation and shortages.

  • Aging Population – The number of Malaysians aged 65 and above is expected to double by 2040, impacting healthcare and workforce dynamics.

  • Investment & Industry Growth – New incentives for electronics, semiconductors, and MSME financing are driving economic competitiveness.

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Malaysia remains a top destination for expats, offering a high quality of life, affordable living, and a vibrant multicultural environment. Here’s what you need to know:

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Cost of Living

  • Malaysia is affordable compared to Western countries, with reasonable housing, food, and transportation costs.

  • Luxury condominiums and landed properties continue to be in demand, especially in Kuala Lumpur, Penang, and Johor Bahru.

  • Healthcare is world-class, with private hospitals offering international-standard medical services.

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Visa & Residency

  • Expats can apply for Malaysia My Second Home (MM2H) for long-term residency.

  • Employment Passes are available for professionals working in Malaysia.

  • Digital Nomad Visas are gaining popularity for remote workers.

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Education & Schools

  • Malaysia has top-tier international schools offering British, American, IB, and other curricula.

  • Higher education institutions like Monash University Malaysia and Nottingham University Malaysia attract expat students.

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Lifestyle & Social Scene

  • Expats enjoy diverse cuisine, tropical weather, and a mix of modern and traditional culture.

  • Networking events, expat clubs, and social gatherings are common in major cities.

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Snapshot of Events in Malaysia (2025)

Here are some major events happening in Malaysia this year:

Festivals & Cultural Events

  • Thaipusam – February 11, Batu Caves.

  • Hari Raya Aidilfitri – March 31 - April 2, nationwide.

  • Rainforest World Music Festival – June 20-22, Sarawak.

  • Deepavali – October 20, nationwide.

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Concerts & Entertainment

  • JJ Lin JJ20 Final Lap World Tour – May 10, Kuala Lumpur.

  • Kenny G Timeless Legacy Tour – July 13, Sabah.

  • Red Velvet’s Irene & Seulgi BALANCE Tour – September 13, Kuala Lumpur.

  • Korean OST Concert KOSTCON 2025 – October 25, Penang.

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Business & Conferences

  • Malaysia Tech Conference 2025 – AI and digital transformation discussions.

  • ASEAN Business Summit – October 25-26, Kuala Lumpur.

  • Green Energy Expo Malaysia – October 15-17, Kuala Lumpur.

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