Exchange Control Rules

8/12/2019 Exchange Control Rules

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(b) dradon o# loans $i%$ $as been approved by .M (eit$er !ndergeneral or spe%i#i% approval) *6! 4ay to nonres'#ents 'n R'ngg't for5,(a) servi%es

*(b) repayment o# loan

*7! 4ay to nonres'#ents 'n fore'gn currency for5,(a) servi%es

*(b) repayment o# loan $i%$ $as been approved by .M (eit$er !ndergeneral or spe%i#i% approval) *8! (ore'gn currency accountsTo retain export pro%eeds in #oreign %!rren%y:(a) Wit$ %ommer%ial banks in Malaysia, !p to t$e #olloing limits

4+ million #or exporter it$ average mont$ly export re%eipts

ex%eeding "M5 million6

4 7 million #or exporter it$ average mont$ly export re%eipts

above "M+ million and !p to "M5 million6

41 million #or exporter it$ average mont$ly export re%eipts

beteen "M7 million and "M+ million6

4 + million #or ne exporter or t$ose it$ average mont$ly export

re%eipts o# less t$an "M 7 million/li8

*

(b) Wit$ %ommer%ial banks in Malaysia, in ex%ess o# t$e above limits *(%) Wit$ banks overseas, in%l!ding 9ab!an o##s$ore banks

*9! /orrow'ng 'n fore'gn currency(a) 0btain s$ort-term (less t$an +5 mont$s) trade #inan%ing #a%ilities in #oreign%!rren%y #rom %ommer%ial banks in Malaysia *(b) 0t$er t$an (a) above, borro in #oreign %!rren%y !p to t$e aggregate o#"M7 million e'!ivalent #rom banks in Malaysia, 9ab!an o##s$ore banks or anynon-resident *(%) orro in #oreign %!rren%y ex%eeding t$e aggregate o# "M7 millione'!ivalent *:! 4ay$ent to another res'#ent 'n fore'gn currency for5,(a) radon and repayment o# loans #rom banks in Malaysia (it$ .Mapproval - general/spe%i#i%) *(b) All ot$er p!rposes ;ot$er t$an 3 (a)


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* . +$#orters

Note :Yes - Alloed No - Not Alloed At All ;04ORTERS-es

Nee#sappro%al

No

! 4ay to nonres'#ents 'n R'ngg't for5,

(a) import o# goods and servi%es %ontra%ted a#ter +1 $o!rs on + eptember+223 *(b) repayment o# loan

*.! 4ay to nonres'#ents 'n fore'gn currency for5,(a) import o# goods and servi%es

*(b) repayment o# loan $i%$ $as been approved by .M (eit$er !nder generalor spe%i#i% approval) *2! Rece'%e fro$ nonres'#ents 'n R'ngg't for #raw#own of loans

*6! Rece'%e fro$ nonres'#ents 'n fore'gn currency for #raw#own of loanswh'ch ha%e 1een appro%e# 1y /N0 )e'ther un#er general or spec'f'cappro%al* *7! /orrow'ng 'n fore'gn currency(a) 0btain s$ort-term (less t$an +5 mont$s) trade #inan%ing #a%ilities in #oreign%!rren%y #rom %ommer%ial banks in Malaysia *(b) 0t$er t$an (a) above, borro in #oreign %!rren%y !p to t$e aggregate o#"M7 million e'!ivalent #rom banks in Malaysia, 9ab!an o##s$ore banks or anynon-resident *(%) orro in #oreign %!rren%y ex%eeding t$e aggregate o# "M7 millione'!ivalent *8! 4ay$ent to another res'#ent 'n fore'gn currency(a) For dradon and repayment o# loans #rom banks in Malaysia (it$ .Mapproval - general/spe%i#i%) *(b) For all ot$er p!rposes ; ot$er t$an = (a)


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D . Malaysian +nvestors

Note :Yes - Alloed No - Not Alloed At All

0ALA-S;AN;N+ESTORS

-es Nee#sappro%al

! 4ay$ent to non,res'#ents 'n fore'gn currency(a) To invest abroad in any #orm (eg p!r%$ase o# property, s$ares), ot$er t$anpla%ement o# deposits

!p to "M+, per remittan%e*

above "M+, per remittan%e*

(b) As pla%ement o# deposits

*.! Rece'pt fro$ nonres'#ents 'n fore'gn currency for5,(a) radon o# loans $i%$ $as been approved by .M (eit$er !nder general orspe%i#i% approval) *(b) ividends, interest and pro#its #rom investments abroad or pro%eeds #rom saleo# investment abroad *2! (ore'gn currency accounts(a) To %onvert "inggit into #oreign %!rren%y #or pla%ement, pending payment tononresidents #or t$e investments *(b) To retain t$e #oreign %!rren%y derived #rom dividends, interest and pro#its #rominvestments abroad or pro%eeds #rom sale o# investment abroad

it$ %ommer%ial banks in Malaysia #or any amo!nt, i# investor $as no

domesti% borroing * it$ %ommer%ial banks in Malaysia !p to 47, i# investor $as

domesti% borroing * it$ 9ab!an o##s$ore banks !p to 47,

* it$ 9ab!an o##s$ore banks above 47,

* it$ overseas banks

*6! /orrow'ng 'n fore'gn currency(a) orro in #oreign %!rren%y !p to t$e aggregate o# "M7 million e'!ivalent #rombanks in Malaysia, 9ab!an o##s$ore banks or any non-resident *(b) orro in #oreign %!rren%y ex%eeding t$e aggregate o# "M7 million e'!ivalent

*


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E . ,oreign +nvestors


(ORE;GN ;N+ESTORS

-es Nee#sappro%al No

! 0a'nta'n fore'gn currency accounts 'n 0alays'a(a) 4se #!nds in a%%o!nt to invest in "inggit assets in Malaysia

*(b) Trans#er #!nds in t$is a%%o!nt to a%%o!nts abroad

*.! 0a'nta'n R'ngg't External Accounts 'n 0alays'a(a) 4se #!nds in a%%o!nt to invest in "inggit assets in Malaysia

*(b) >redit t$e a%%o!nt it$ repatriation o# o##s$ore "inggit #!ndsmaintained it$ banks overseas *(%) >onvert "inggit in a%%o!nt into #oreign %!rren%y $i%$ $ave beeninvested in "inggit assets #or less t$an +5 mont$s *(d) >onvert "inggit in a%%o!nt into #oreign %!rren%y $i%$ $ave beeninvested in "inggit assets #or more t$an +5 mont$s *(e) >onvert "inggit #!nds derived #rom dividends, interest, rentals,%ommission, #ees, and pro#its *2! O1ta'n #o$est'c loans(a) In "inggit #rom banking instit!tions in Malaysia !p to an aggregateo# "M5, *(b) In "inggit #rom banking instit!tions in Malaysia ex%eeding"M5, *, . Ex#atriates


EX4ATR;ATES

-es Nee#s

appro%al No

! 0a'nta'n fore'gn currency accounts 'n 0alays'a(a) 4se #!nds in a%%o!nt to invest in Malaysian assets

*(b) Trans#er #!nds in t$is a%%o!nt to a%%o!nts abroad

*


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.! 0a'nta'n R'ngg't External Accounts 'n 0alays'a

(a) ebit t$e a%%o!nt to pay to any party*

(b) >redit t$e a%%o!nt it$ "inggit re%eipts #or salaries, ages or #ees*

(%) >redit t$e a%%o!nt it$ repatriation o# o##s$ore "inggit #!nds maintainedit$ banks overseas *(d) >onvert "inggit in a%%o!nt into #oreign %!rren%y #or repatriation abroad !pto t$e e'!ivalent o# salary *2! O1ta'n #o$est'c loans(a) In "inggit #rom banking instit!tions in Malaysia !p to an aggregate o#"M5, *(b) 0t$er t$an (a) above, in "inggit #rom any resident #or t$e p!r%$ase o# oneresidential property in Malaysia and one ve$i%le loan (bot$ #or personal !se) *(%) 0t$er t$an (b) above, in "inggit #rom any resident

*(d) In "inggit #rom banking instit!tions in Malaysia ex%eeding "M5,

* . ,oreign or/ers


(ORE;GN"OR


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2! O1ta'n #o$est'c loans(a) In "inggit #rom banking instit!tions in Malaysia !p to an aggregate o#"M5, *(b) 0t$er t$an (a) above, in "inggit #rom any resident #or t$e p!r%$ase o# oneresidential property in Malaysia and one ve$i%le loan (bot$ #or personal !se) *(%) 0t$er t$an (b) above, in "inggit #rom any resident

*(d) In "inggit #rom banking instit!tions in Malaysia ex%eeding "M5,

*0 . Malaysian or/ing A1road


0ALA-S;ANS"OR


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+ . Malaysian 2tudying A1road


0ALA-S;ANSSTU&-;NGA/ROA&

-es Nee#sappro%al

! (ore'gn currency accounts opene# w'th5 any %ommer%ial bank in Malaysia6

* any 9ab!an o##s$ore bank6 and

* any overseas bank

*!p to t$e amo!nt re'!ired #or one year&s t!ition, #ees, a%%ommodation andgeneral living expenses *.! Re$'ttances to the res'#ent=s fore'gn currency accounts(a) In t$e %!rren%y o# t$e a%%o!nt !p to t$e amo!nt re'!ired #or one year&st!ition, #ees, a%%ommodation and general living expenses *(b) y t$e resident&s parent/g!ardian/relative/employer

*2! Re$'ttances to 'nst'tutes of h'gher learn'ng 'n fore'gn currency forfees an# acco$$o#at'on *

3ENA4TY

'he penalty for offenses co!!itted under

the change *ontrol $ct" +,.

pon con0iction1

o ,+NE- p to RM+2"222;

o 5A+4 TERM- Not eceeding . years; oro )OT0

,urther *larification

Co$putat'on of the . $onths hol#'ng per'o# for External Account hol#er 1efore R'ngg't$ay 1e con%erte# 'nto fore'gn currency

T$e +5 mont$s o!ld start #rom + eptember +223, #or non-residents $o already $ave

"inggit #!nds in Malaysia, t$at is t$ey $ad deposited #!nds or $ad p!r%$ased "inggitassets be#ore + eptember +223


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!ring t$is one year period, t$e non-resident is alloed to %$ange t$e type or #orm o#

"inggit asset $e %$ooses to invest in

I# t$e non-resident %onverts #oreign %!rren%y into "inggit and makes a "inggit deposit or

p!r%$ases "inggit assets a#ter + eptember +223, t$en t$e +5 mont$ period o!ld start#rom t$e date t$e "inggit deposit is made or t$e "inggit asset is p!r%$ased !ring t$isone year period, t$e non-resident is alloed to %$ange t$e type or #orm o# "inggit asset

$e %$ooses to invest in

Su1$'ss'on of appl'cat'on for$s

All appli%ations #or ex%$ange %ontrol approval s$o!ld be addressed to:&'rectorExchange Control &epart$ent/an3 Negara 0alays'a>alan &ato= Onn7?6:?


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+ 0pen #oreign %!rren%y a%%o!nts in Malaysia or overseas*

5 0pen External A%%o!nts in Malaysia to:-

de#ray stat!tory and administrative expenses*

grant loans to sta##*

pay #or goods and servi%es in Malaysia*

pla%e #ixed deposits it$ %ommer%ial banks inMalaysia *invest in "inggit assets in Malaysia

*1 External A%%o!nts may be #!nded #rom:-

sale o# #oreign %!rren%y*

%redit #a%ilities !p to "M5, in total #rom bankinginstit!tions in Malaysia *dividends, interest, rental, pro#its, #ees and%ommission *repatriation o# "inggit #rom overseas banks

*@ >onvert #!nds in t$e External A%%o!nt into #oreign %!rren%yarising #rom re%eipt o# dividends, interest, rental, pro#its, #ees

and %ommission *

7 orro in #oreign %!rren%y or lend in #oreign %!rren%y, it$%ommer%ial banks or Tier-+ mer%$ant banks in Malaysia, orany non-resident *= orro in "inggit (ex%ept %redit #a%ilities !p to "M5,in total #rom banking instit!tions in Malaysia) * 9end in "inggit

*3 4ndertake any #oreign ex%$ange transa%tions in to#oreign %!rren%ies it$ an a!t$oriCed dealer or a Tier-+mer%$ant bank or any non-resident *2 All transa%tions it$ pe%i#ied Dersons or "estri%ted>!rren%ies (Israel, erbia and Montenegro) */! O((SHORE ;NSURANCE ENT;T;ES

+ 0pen #oreign %!rren%y a%%o!nts in Malaysia or overseas*


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5 0pen External A%%o!nts in Malaysia to:-

de#ray stat!tory and administrative expenses*

grant loans to sta##*

pay #or goods and servi%es in Malaysia*

pla%e #ixed deposits it$ %ommer%ial banks inMalaysia *pay ins!ran%e premi!ms and %laims #or re-ins!ran%eo# Malaysian risks and dire%t ins!ran%e o# permittedMalaysian risks *invest in "inggit assets in Malaysia

*1 External A%%o!nts may be #!nded #rom:-

sale o# #oreign %!rren%y*

%redit #a%ilities !p to "M5, in total #rom bankinginstit!tions in Malaysia *dividends, interest, rental, pro#its, #ees and%ommission *re%eipt o# ins!ran%e premi!ms and %laims #orreins!ran%e o# Malaysian risks and dire%t ins!ran%eo# permitted Malaysian risks *repatriation o# "inggit #rom overseas banks *

@ >onvert #!nds in t$e External A%%o!nt into #oreign %!rren%yarising #rom re%eipt o# dividends, interest, rental, pro#its, #eesand %ommission *7 orro in #oreign %!rren%y or lend in #oreign %!rren%y, it$%ommer%ial banks or Tier-+ mer%$ant banks in Malaysia, orany non-resident *= orro in "inggit (ex%ept %redit #a%ilities !p to "M5,in total #rom banking instit!tions in Malaysia) * 9end in "inggit *3 4ndertake any #oreign ex%$ange transa%tions in to#oreign %!rren%ies it$ an a!t$oriCed dealer or a Tier-+mer%$ant bank or any non-resident *2 All transa%tions it$ pe%i#ied Dersons or "estri%ted>!rren%ies (Israel, erbia and Montenegro) *


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C! O((SHORE /ANonvert #!nds in t$e External A%%o!nt into #oreign %!rren%yarising #rom re%eipt o# dividends, interest, rental, pro#its, #eesand %ommission *7 Trade in "inggit instr!ments

*= orro in #oreign %!rren%y or lend in #oreign %!rren%y, it$%ommer%ial banks or Tier-+ mer%$ant banks in Malaysia, orany non-resident * orro in "inggit (ex%ept %redit #a%ilities !p to "M5,in total #rom banking instit!tions in Malaysia) *3 9end in "inggit

*2 Iss!e g!arantees in "inggit

*+ Iss!e g!arantees in #oreign %!rren%y

*++ "e%eive payment !nder g!arantees in "inggit

*+5 "e%eive payment #or g!arantee #ees in "inggit

*


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Exchange Control Rules

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