Digital Nomad vs MTEP vs MD Status: Which pathway is the best for you?

Malaysia has various programs for tech professionals to be in Malaysia and choosing the right program will depend on your goals in Malaysia. Generally, the tech ecosystem is led by MDEC, which is short for the Malaysia Digital Economy Corporation. MDEC is a government linked company, driving the strategy of the Malaysian government to stimulate tech investment and creation of tech jobs in Malaysia.

Which immigration pathway is right for you?

If you're a freelance tech worker who works remotely, or even a tech founder who is still exploring what your next steps are, the Digital Nomad visa may be right for you. However, if you're a very experienced tech founder with deeper understanding of Malaysia as a tech hub and already have a solid business proposal for your market entry, you may want to consider the Malaysia Tech Entrepreneur Program (MTEP) as it gives you approval for up to 5 years without a corporate set up. Finally, if you're already ready to set up a tech company in Malaysia, your company may be suited for the Malaysia Digital (MD) Status, which grants multiple tax incentives and priority for tender as well as connection to the tech ecosystem in Malaysia. Once your company obtains MD Status, you can also sponsor employment passes for yourself and your team.

Do note that the MD status comes with certain obligations too, such as hiring a minimum of (2) knowledge workers, and maintaining operating expenses of RM50,000 a year. Alternatively, you can still register your company with MDEC without the MD status, and still benefit from the seamless visa processing services offered by eXPATs in Cyberjaya. However, the usual paid up capital requirements will apply for non-MD status companies.

Comparing the Digital Nomad Visa, MTEP and MD Status routes

Feature	Digital Nomad Visa (DE Rantau)	Malaysia Tech Entrepreneur Programme (MTEP)	Malaysia Digital (MD) Status (for Companies)
Commitment level	Low	Medium	High
Entry timelines	1 - 2 months	3 - 4 months	5 - 6 months
Primary Goal	Attract high-income remote workers/ freelancers	Attract foreign tech founders/entrepreneurs to establish startups	Attract technology companies/SMEs to invest and grow in Malaysia
Target Applicant	Individuals (Freelancers, Remote Workers)	Individuals (Founders, Entrepreneurs)	Corporations (Tech Companies, SMEs)
Company Incorporation Required in Malaysia	No (Applicant must work for non-Malaysian entity or be a self-employed freelancer with foreign contracts)	No (Required for the venture)	Yes (Required to obtain the status)
Type of Visa	Professional Visit Pass. Dependents allowed.	MTEP visa. Dependents Allowed.	Knowledge Worker Visa (EP), Dependents allowed.
Minimum Paid-Up Capital	N/A	N/A	RM1,000
Annual Income/Fund Requirement	Minimum Annual Income: USD 24,000 for tech talent, and USD60,000 for non-tech remote workers	No specific requirements. Must show a cash flow of RM50,000 over three months in a personal account.	Minimum Annual Operating Expenditure (OPEX): RM50,000 within the first 12 months (or as required by business plan)
Duration of Stay	12 months (Renewable for another 12 months) Total of 2 years	New Entrepreneur:  1 year Established Entrepreneur:  5 years	Perpetual (with annual compliance), EPs typically 1-5 years.
Primary Benefit	Easy entry to Malaysia with very low commitment	Generous entry visa for high performing tech founders; path to building a high-growth Malaysian company.	Streamlined immigration, corporate tax incentives, and government support for tech companies.

Conclusion

Choosing the right path for you will ease your entry to Malaysia. Take your time to explore and weigh the benefits of each program and decide which works best for you.

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