Effective 13 March 2026, the Malaysian Immigration Department (“MID”) revised the “Type of Investor” categories within the Investor Pass application process in the Xpats Gateway system, removing the "Existing Investor" category to align with current Investor Pass policy and compliance standards.1
WHY THIS MATTERS
This change clarifies eligibility for the Investor Pass, affecting both companies seeking investments in Malaysia and individuals applying for a work pass under this route. Investors or directors who already own or hold directorship in Malaysian companies and key personnel in charge of the investment are no longer eligible for the Investor Pass and could consider alternative work pass options. This may affect planning, timelines, and mobility strategies for organizations with ongoing or draft applications under the affected category.
Background
Previously, the Investor Pass application process in the Xpats Gateway system included three categories: New Investor, Investor in Pipeline, and Existing Investor. The revision, effective 13 March 2026, removes the "Existing Investor" category to better reflect policy intent and streamline procedures. This change follows ongoing efforts to align the Investor Pass system with prevailing regulations and national security standards.
Key Developments
Updates on the Investor Pass application process:
- Category removal: The “Existing Investor” category is no longer available. Only “New Investor” and “Investor in Pipeline” remain as valid application types.
- Eligibility clarification: Investors who already own a company or serve as a director in a Malaysian company and their key personnel are not eligible to apply for the Investor Pass. Their applications fall outside the scope of the current policy.
- Alternative routes: Affected applicants may need to consider applying for an Employment Pass (“EP”) or a Professional Visit Pass (“PVP”), subject to meeting the relevant requirements.
- Draft applications: Any Investor Pass applications under the "Existing Investor" category that remained in draft status were removed from the system effective 13 March 2026.
- Support and contact: For further guidance, applicants may contact MIDA, the Expatriate Services Division, or the MYXpats Centre Helpdesk using the details provided in the official communication.
KPMG INSIGHTS
In light of the changes, organizations could review all current and planned Investor Pass applications to confirm alignment with the new categories and identify investors / individuals who may need to transition to Employment Pass or Professional Visit Pass routes. To apply for an Employment Pass or Professional Visit Pass, companies must first be registered and obtain approval from the relevant approving authorities. The approval process is documentation‑intensive and involves multiple authorities. Hence, sufficient lead time could be considered for the transition.
It may also be prudent to communicate these changes to affected stakeholders and update internal procedures accordingly.
If investors and/or their programme managers have any questions or concerns about the scope of the update, its application and potential impacts, and appropriate next steps, they should consult with their qualified professional or a member of the GMS team with KPMG in Malaysia (see the Contacts section).
ENDNOTE:
1 Expatriate Services Division, Immigration Department of Malaysia, “Revision to Type of Investor category for Investor Pass applications effective 13 March 2026,” published on 11 March 2026.
Contacts
Disclaimer
* Please note the KPMG International member firm in the United States does not provide immigration or labour law services. However, KPMG Law LLP in Canada can assist clients with U.S. immigration matters.
The information contained in this newsletter was submitted by the KPMG International member firm in Malaysia.
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