Malaysia

Government orders tough crackdown on foreigners misusing business licences and visas

The federal government pledges firm enforcement action against foreign nationals found abusing business licences, visas and commercial facilities

Updated 2 months ago · Published on 05 Jun 2026 5:41PM

Government orders tough crackdown on foreigners misusing business licences and visas
Decision follows mounting complaints that local business activities are increasingly being dominated or controlled by non-citizens (Photo from Bernama) - June 5, 2026

THE government has vowed to intensify enforcement against foreign nationals who breach immigration and business regulations, following growing public complaints over the alleged takeover of local commercial activities by foreigners.

Government spokesman Datuk Fahmi Fadzil said Prime Minister Datuk Seri Anwar Ibrahim had expressed concern over reports and complaints received regarding the phenomenon and had instructed relevant authorities to act in accordance with existing laws.

The issue was raised during discussions within the government amid concerns that some foreign nationals may be exploiting business licences, visas and other facilities intended for legitimate economic activities.

“We leave it to the relevant authorities to take action based on the law,” Fahmi told a weekly media briefing on Friday.

“At the same time, we remind all traders to continuously comply with regulations, particularly regarding licence ownership and the conditions governing business activities.”

His remarks come as concerns grow over allegations that foreign nationals are operating businesses through arrangements that may contravene licensing requirements and other regulatory provisions.

Fahmi stressed that enforcement agencies would be responsible for determining whether any offences had occurred and for taking appropriate action where necessary.

Responding to questions on whether the government's stance was linked to a recently circulated petition calling for the expulsion of the Rohingya community from Malaysia, Fahmi rejected suggestions that enforcement efforts were directed at any specific ethnic or migrant group.

“The Prime Minister did not refer to any particular group but was referring to complaints regarding the phenomenon,” he said.

The government's position signals a broader enforcement approach focused on regulatory compliance rather than targeting any individual nationality or community, with authorities expected to investigate complaints and act against any proven violations involving immigration status, licensing requirements or business operations.

Fahmi reiterated that all businesses operating in Malaysia, regardless of ownership or nationality, are expected to adhere fully to the country's laws and regulations, with enforcement measures to be carried out through the proper legal channels. - June 5, 2026

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