FIC Guidelines
The Economic Planning Unit (EPU) of the Prime Minister’s Department has raised the minimum value of foreign acquisition of residential property from RM250,000 to RM500,00, effective 1 January 2010.
Following the announcement made by the Government on 30 June 2009 to liberalise property acquisition by foreigners, the Unit has revised the Foreign Investment Committee guidelines accordingly.
This revision is seen to encourage foreigners to purchase high-end housing properties. The new guidelines for residential property will no longer require approval from the Unit but will be under the purview of the respective State Authorities.
The New Guidelines state that:
All property acquisition except residential units that requires approval from EPU are:
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Direct acquisition of property valued RM20 million and above which will dilute the ownership of property held by Bumiputera interest and/or government agency;
- Indirect acquisition of property by other than Bumiputera interest through acquisition of shares, resulting in a change of control of the company owned by Bumiputera interest and/or government agency, having property more than 50 percent of the total assets and the said property is valued more than RM20 million.
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