PUTRAJAYA will review the terms and conditions for the Malaysia My Second Home (MM2H) programme, after reports of a drastic drop in applicants due to strict requirements.

In a statement, the Tourism, Arts and Culture Ministry (Motac) said the decision came after a meeting yesterday between its minister, Tiong King Sing, and Home Ministry secretary-general Ruji Ubi.

The ministry said both parties agreed that Tourism Malaysia, the agency under the ministry will promote and provide recommendations for applications via a filtering process through a MM2H one-stop centre

It said Tourism Malaysia will forward the applications it had processed to the Home Ministry or Immigration Department.

The statement quoted Tiong as saying the application process for MM2H will be more flexible.

New conditions were introduced in 2021 requiring applicants to have permanent savings of at least RM1 million (previously RM300,000), liquid assets of at least RM1.5 million (previously RM500,000) and an offshore income of at least RM40,000 a month, up from RM10,000.

On Monday, the Penang government had hoped the Home Ministry would consider easing the overly strict conditions introduced for new applicants of the MM2H programme.

The state’s Tourism and Creative Economy Committee chairman Yeoh Soon Hin said the Home Ministry must review and revise the new MM2H conditions urgently.

Yeoh said the MM2H Consultant Association had found that the stricter conditions had caused a 90% drop in the number of MM2H applicants after the new rules were introduced in 2021.

“These unnecessary barriers have hindered attracting long-term foreign residents ever since.

“If such conditions persist, I believe many expatriates will no longer choose Malaysia and will seek out neighbouring countries.

“It will be much easier for them to meet the eligibility requirements to settle there,” he was quoted as saying. – April 19, 2023.