Cost of Living in Malaysia

The cost of living in Malaysia is low by international standards, and that affordability is a big part of the appeal. Kuala Lumpur is the most expensive place in the country, yet it is still far cheaper than Singapore next door. Malaysia isn't the cheapest spot in Southeast Asia, and everyday costs in the capital are a little higher than in Jakarta or Manila. You'll still get far more for your money here than in most Western cities.

Rent is likely to be the biggest item in your monthly budget. Rents are far lower outside the city centre, and lower still beyond Kuala Lumpur altogether, so where you settle makes the biggest difference to what you spend. Local food and public transport are cheap, while imported goods and alcohol are where you'll feel the pinch.

Cost of accommodation in Malaysia

From modest suburban flats to high-end condominiums in Kuala Lumpur, accommodation in Malaysia is available at every budget. When you view a place, ask about local traffic and check your likely daily routes, because a short hop on the map can still be a long commute in rush-hour traffic. If you rent near a Mass Rapid Transit (MRT) or Light Rail Transit (LRT) station, your commute is easier, but you'll pay more for the convenience.

On top of rent, budget for utilities. Electricity is the cost to watch. You'll run the air-conditioning for much of the year in Malaysia's heat and humidity, so it is usually the biggest utility bill. Water and cooking gas are cheap by comparison.

Renting Expat Accommodation in Malaysia

Cost of transport in Malaysia

Transport is one of the cheapest parts of life in Malaysia, especially if you rely on the public network in Kuala Lumpur and the Klang Valley. The integrated Rapid KL system is made up of buses, the LRT, the MRT, and the monorail, and you can use a single fare card across all of them. KTM Komuter trains run out to the suburbs. Fares are cheap, and there's an unlimited monthly pass if you commute every day. Grab and other ride-hailing apps are there for everything else; they cost more than the trains, but still far less than a taxi back home.

Outside the Klang Valley, public transport is patchy, so you'll probably need your own vehicle. Factor in road tax, insurance, parking, and petrol. Petrol is worth a closer look. Foreigners don't get Malaysia's RON95 fuel subsidy, so you pay the unsubsidised market rate at the pump rather than the lower price Malaysian citizens pay. Cars are pricey to buy too, thanks to high import and excise duties.

Public Transport and Driving in Malaysia

Cost of groceries in Malaysia

If you shop and cook like a local, groceries in Malaysia can cost very little. Wet markets are the cheapest source of fresh produce, and browsing them is a pleasant way to spend a morning.

For a taste of home, be prepared to pay more, as imported Western products are noticeably pricier. You'll find familiar brands at upmarket chains such as Jaya Grocer and Cold Storage, although at a higher price than at the local supermarkets and hypermarkets.

Cost of entertainment and eating out in Malaysia

One of the real pleasures of living in Malaysia is how cheaply and how well you can eat out. At hawker centres and street stalls, you'll eat some of the best food in the country for the price of a coffee back home, and even a proper restaurant meal is cheap by Western standards.

The food scene is genuinely international. Malay, Chinese, Indian, and Nyonya cooking are the local backbone, and international restaurants of every stripe are easy to find. The big exception is alcohol. The government taxes it heavily, so drinks are expensive, and a night out can cost more in alcohol than in food.

Cost of education in Malaysia

If you're moving with children, education is the cost to plan for most carefully in Malaysia, largely because of international school fees. Most expats send their children to private or international schools for a familiar curriculum taught in English. Standards are high, but tuition is steep, and higher still in the senior years. If you're moving for work, try to negotiate an education allowance into your package to help cover some of the costs.

Public schools are far cheaper, but lessons are in Malay, so they're rarely a fit for older children or anyone here only briefly. For younger children who can pick up the language, a public school is an inexpensive option and an easy way into local life.

Education, Schools and Tutors in Malaysia
International Schools in Malaysia

Cost of healthcare in Malaysia

The cost of healthcare in Malaysia depends mainly on whether you go to a public or private hospital. Public hospitals are good and heavily subsidised for citizens, but as a non-citizen, you'll pay higher, unsubsidised rates. Lower-skilled foreign workers must be covered by a government-mandated hospitalisation and surgical scheme arranged by their employer, although the cover is limited to inpatient treatment at public hospitals, up to a set amount.

Professional expats usually skip the public system altogether. Malaysia is one of the world's leading medical tourism destinations. Its private hospitals are excellent, and their fees are well below those in the US or Europe. Most expats take out private or international health insurance to use it, and many employers build cover into the package.

Healthcare and Health Insurance in Malaysia