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>Industries>Services>Healthcare Services

Healthcare Sector

Malaysia has an efficient two-tier system of healthcare where the government-run healthcare sector co-exists with a private healthcare system.

The well-established private healthcare facilities supported with experienced and internationally recognised doctors and well-trained medical staff have made Malaysia a top destination for medical tourism in the region. Most of our healthcare travellers come from Indonesia, China, India, Bangladesh, Japan, United Kingdom, Philippines, Australia, Singapore and the United States.

Malaysia has become a leading choice for foreign patients seeking healthcare treatment abroad supported by numerous international awards including the ‘Outstanding Leadership in Healthcare Travel in the Asia-Pacific’ for Malaysia Healthcare Travel Council by the Asia Pacific Healthcare & Medical Tourism Awards (2021). Source: Malaysia Healthcare Travel Council

The highly sought-after medical procedures in the country are cardiology, fertility treatment, oncology, orthopaedics, general health screening, aesthetics, dental and neurology.

Equity Requirement

Foreign equity for private healthcare facilities is subject to the approval by the Ministry of Health’s Special Committee on Foreign Equity Participation.


MIDA will continue to encourage investment in private healthcare facilities and undertake policy advocacy with relevant stakeholders including Malaysia Healthcare Tourism Council (MHTC), Ministry of Health (MOH), Malaysia Productivity Corporation (MPC) and Ministry of Finance (MOF) while supporting various healthcare investment promotions.

Promoted Activities

New or expansion projects of private hospital and ambulatory care centres are eligible for tax incentives.

Investment Tax Allowance (ITA)

Companies may benefit from an income tax exemption package of 100% allowance on the qualifying capital expenditure incurred within a period of 5 years where the allowance can be used to offset against 100% of the statutory income for each year of assessment of the medical service operations.

Regulation and Licensing

A. Medical professionals intending to work in private healthcare are subject to the following;

The license to operate will only be awarded to qualified Malaysian medical practitioner

Foreign practitioners who wish to practice in Malaysia are required to obtain the necessary approval from the Malaysian Medical Council (MMC) (for full registration certificate / annual practising certificate / temporary practising certificate) and National Specialist Register (NSR) (for specialist credentialing)

MMC recognised medical graduates with Bachelor Degree qualification from 384 medical institutions from the 35 countries as listed in schedule 2 of the Medical Act 1971

B. Healthcare facility which is approved a tax incentive will be required to;

Register with the Malaysia Healthcare Travel Council (MHTC) after obtaining accreditation of its medical centre

Obtain the necessary healthcare licenses from the Ministry of Health

Serve at least 10% of foreign patients from total patients yearly within the incentive period; and to generate at least 10% income from foreign patient treatment yearly within the incentive period

Our Investors' Highlights

“The hospital is equipped with the latest medical, surgical and diagnostics facilities to serve local and international patients. With an investment of RM70 million, the project involves job opportunities for more than 150 Malaysians.”

- Borneo Medical Center Miri

Get Started

MIDA provides comprehensive support to your business as you consider the competitive and comparative advantages Malaysia has to offer for your investment. Explore our dedicated resources, wide range of facilities or consultation services to assist you in expanding your operations here.
Find out more about the policies, incentives and facilities in the healthcare sub-sector.