Malaysia has been named one of the world’s top 10 retirement destinations for 2025 by International Living, securing the seventh spot in the Annual Global Retirement Index published by the Ireland-based magazine.
The list, eagerly anticipated each year, evaluates 20 countries based on key factors such as cost of living, healthcare, visa and residency options, climate, governance, and lifestyle.
Malaysia and Thailand are the only two Southeast Asian nations in the top 10, with Thailand ranking 10th.
The report highlighted Malaysia’s appeal to foreign retirees due to its affordable cost of living, well-developed infrastructure, and unique cultural diversity.
“Malaysia offers an exceptional combination of affordability, world-class medical facilities, and a rich culture, making it an accessible and rewarding destination for retirees,” the report stated.
Cities such as Kuala Lumpur offer significantly lower rental rates compared to major Western cities, with one-bedroom apartments available for US$300 to US$500 per month, while utilities cost between US$40 and US$60.
Dining out is also budget-friendly, with local meals costing as little as US$2 to US$3. Meanwhile, places like Penang and Melaka provide an even lower cost of living with a more relaxed atmosphere, making them attractive retirement destinations.
The report also praised Malaysia’s tropical climate, which sees temperatures ranging from 25 to 35 degrees Celsius year-round.
With modern amenities and a population proficient in English, transitioning to life in Malaysia is easier for foreign retirees.
Long-term visa options such as the Malaysia My Second Home (MM2H) programme were also recognised as a key advantage for foreigners looking to retire in the country.
Topping the 2025 Global Retirement Index is Panama, followed by Portugal, Costa Rica, Mexico, France, and Spain. Other countries in the top 10 include Greece and Italy.
