MALAYSIA: Malaysia has been ranked the seventh-best country in the world for retirement in 2025, according to International Living’s Annual Global Retirement Index. The ranking, which evaluates the best places for foreign retirees based on factors such as cost of living, healthcare, climate, and visa options, placed Malaysia ahead of several European and Latin American nations.
According to Bernama, Malaysia and Thailand were the only Southeast Asian countries to make the top 10, with Thailand securing the 10th spot. The report highlighted Malaysia’s affordability, infrastructure, and high-quality healthcare system as key reasons why it continues to attract retirees from around the world.
Affordability and high quality of life
One of Malaysia’s strongest advantages for retirees is its low cost of living, especially compared to Western countries. Bernama reported that in Kuala Lumpur, rental costs are significantly lower than in major Western cities, with a one-bedroom apartment costing between US$300 and US$500 (S$400 and S$660) per month, while monthly utilities range from US$40 to US$60 (S$53 to S$80).
For retirees who prefer a more laid-back lifestyle, Penang and Malacca were also highlighted as excellent retirement destinations. These cities offer lower living costs and a slower pace of life. Additionally, the warm tropical climate, with temperatures averaging between 25 and 35 degrees Celsius year-round, makes Malaysia an attractive alternative to colder Western retirement destinations.
Malaysia’s healthcare system was another major factor contributing to its high ranking. Bernama reported that Malaysia offers excellent medical care, making it one of the best places for retirees seeking quality medical services at a fraction of the cost in Western countries.
Malaysia My Second Home (MM2H) visa programme
Malaysia’s long-term visa options, particularly the Malaysia My Second Home (MM2H) programme, were cited as another major advantage for retirees. MM2H offers foreigners long-term residency with various financial and property investment benefits, making it an attractive option for those looking to settle in the country.
While the programme underwent revisions in recent years, it remains one of the most well-established retirement visa options in Asia, allowing eligible applicants to stay in Malaysia for up to 10 years with multiple-entry benefits.
Malaysia ranks alongside top global retirement spots
Malaysia’s placement puts it among some of the world’s most desirable retirement destinations. Panama took the top spot, followed by Portugal, Costa Rica, Mexico, France, and Spain. Other countries in the top 10 included Greece and Italy, reflecting a mix of affordability, quality of life, and visa accessibility.
While Malaysia did not make it to the top five, its strong performance against well-established European and Latin American retirement havens demonstrates its growing appeal to expatriates. With affordable living, modern infrastructure, and high-quality healthcare, the country continues to position itself as a premier destination for retirees looking for a comfortable and cost-effective lifestyle.
A rising star in global retirement rankings
As Malaysia climbs the ranks in global retirement indices, its government and tourism authorities may continue to enhance policies that attract more retirees. Initiatives such as improving visa flexibility, maintaining healthcare standards, and promoting Malaysia’s lifestyle advantages could help the country become an even stronger contender in future rankings.
For those considering retirement abroad, Malaysia’s blend of affordability, cultural diversity, and modern amenities makes it a compelling option. With continued investment in infrastructure and residency programmes like MM2H, it is likely to remain a top choice for foreign retirees in the years to come.
Read also: Malaysia’s rental market hits five-year high, averaging RM2,052 in Q4 2024
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