Kota Kinabalu, Sunday, 9 June 2024
I urge the Sabah government to take up my proposal made in August 2023 to start a Sabah My Second Home (SM2H) program for non-Sabahan Malaysians to invest in properties in Sabah. As Sabah M2H is limited only to other Malaysians and not foreigners, this program is within the complete immigration powers of the Sabah government. As for the purchase of properties, the transfer of funds within Malaysia (to Sabah) is a straightforward process. Such a simple program could have been implemented on 1 January 2024. This is not the same as Sabah MM2H which is for non-Malaysians. This is SM2H for Malaysians.
Once the Sabah authorities have proven itself efficiently capable of handling SM2H, then Sabah can start implementing the MM2H program later this year. At the moment, even Sabah business people don’t know how the MM2H program works. When I asked questions in the Legislative Assembly, no satisfactory answer was given.
Hopefully, after our own SabahM2H program has been put in place, our Sabah Minister of Tourism would have realised the wisdom and found the time to engage with the Federal Ministry of Tourism to move forward on MM2H.
MM2H investors want confidence
In the case of MM2H, the applicants are foreign business people. Being foreign nationals, they will want to be absolutely confident that their investments will be honoured with residency privileges. But with the hostile exchanges between the Sabah Minister and Federal Minister over the MM2H program, investor confidence have evaporated into thin air.
Foreign investors are not stupid. Specifically, foreign applicants for MM2H remember the bitter experience of Forest City of Johor where they were lured by vague promises of residency privileges in Malaysia and even Singapore. So, without a clear and unequivocal commitment by both the Sabah and federal governments, there will be no takers for MM2H in Sabah.
Sabah autonomy to be respected
Although the federal government has to respect Sabah autonomy on immigration, the foreigners know that they need federal immigration permits to enter Malaysia, of which Sabah is a part.
The last time that Sabah policy and federal policy did not align was the dispute over “dine-in” at eateries in Sabah towards the end of the Covid-19 era. At the time (in June 2021), the federal Majlis Keselamatan Negara had not yet allowed dine-in at coffee shops and restaurants but Sabah rightly denied the federal policy. The local authorities allowed coffee shops to open for dine-in. No enforcement was taken by the federal police and health departments in Sabah.
Our business people and Ministers should realise that MM2H is not a coffee shop matter. MM2H involves holders of foreign passports whom we want to spend at least RM600,000.00 each in Sabah buying properties that they cannot take out easily.
I urge our Sabah government to urgently take up the proposed SABAH MY SECOND HOME which does not need federal involvement.
Datuk Yong Teck Lee
SAPP President
ADUN DiLantik
Ex-Chief Minister