Malaysia ranked seventh among world’s top retirement destinations, with 'strong appeal to foreign retirees' — report

• Malaysia’s long-term visa options, such as the “Malaysia My Second Home” (MM2H) programme, were also cited as a plus point for foreigners looking to retire in the country.

KUALA LUMPUR (March 21): Malaysia has been ranked as one of the top 10 countries for retirement in 2025 by International Living, securing the seventh spot in the magazine’s Annual Global Retirement Index.

The Ireland-based publication released its much-anticipated list recently, assessing 20 countries based on several key factors, including the cost of living, healthcare, visa and residency options, climate, governance, and lifestyle.

Malaysia and Thailand were the only Southeast Asian nations to make the top 10, with Thailand in 10th place.

The report highlighted Malaysia’s strong appeal to foreign retirees, due to its affordability, infrastructure, and multicultural charm.

“Malaysia offers a rare blend of low-cost living, excellent medical care, and vibrant culture that retirees find both accessible and enriching,” said the report.

In Kuala Lumpur, the capital city, rental costs are reportedly lower compared to major Western cities. A one-bedroom apartment typically rents for between US$300 (RM1,325) and US$500 per month, while utilities cost an additional US$40 to US$60.

Dining out is reportedly affordable, with local meals available for as little as US$2 to US$3.

Meanwhile, cities like Penang and Melaka offer slightly lower living costs with a more relaxed pace of life, making them attractive retirement hubs, according to the report.

The report also commended Malaysia’s tropical climate, where year-round temperatures hover between 25°C and 35°C. This, combined with the country’s modern amenities and English-speaking population, contributes to a smooth transition for retirees.

Malaysia’s long-term visa options, such as the “Malaysia My Second Home” (MM2H) programme, were also cited as a plus point for foreigners looking to retire in the country.

Panama topped the 2025 index, followed by Portugal, Costa Rica, Mexico, France and Spain. Other countries in the top 10 included Greece and Italy.

Want to have a more personalised and easier house hunting experience? Get the EdgeProp Malaysia App now.