The recent move to extend the visa duration for participants of the Malaysia: My Second Home programme from five to 10 years has been lauded by the Real Estate and Housing Developers’ Association Malaysia (Rehda).

The new policy, which will take immediate effect, was one of the recommendations the association made to the Government during the Budget Consultation 2006, its president Datuk Jeffrey Ng said.

With a 10-year multiple-entry visa, participants of the programme are likely to be more optimistic about wanting to purchase their own residential properties. The new policy is also expected to engender greater confidence among expatriates contemplating long stays in the country.

As a result, Rehda also expects demand for residential properties above RM150,000 to be buoyant.

Another proposal it has made to the Government is a “Business Migration Programme” (BMP) to allow foreigners doing business in the country to stay for up to 10 years.

The proposal targets high nett worth individuals keen on establishing and operating new businesses or on taking direct equity investment in existing businesses in Malaysia. Rehda anticipates an increase in demand for residential and commercial properties as well as spin-off businesses should this proposal be accepted.

It believes that by targeting at least 1,000 eligible business migrants under this proposal, RM3.75 billion worth of investment flow can be generated.