Quick answer: A non-MD IT company can use MDEC's Expats Service Centre if it is incorporated in Malaysia, runs an active ICT business as its core business, has a physical office in Malaysia and meets the minimum paid-up capital of RM250,000 if 100% locally owned, RM350,000 if local and foreign owned, or RM500,000 if 100% foreign owned. MDEC assesses the company against e-SSM activities, visits the office and may interview senior management, with about 30 working days for first-time registration and RM3,024 per Employment Pass.
- Incorporated in Malaysia with an active ICT core business and a physical office.
- Paid-up capital: RM250,000, RM350,000 or RM500,000 by ownership.
- MDEC assesses against e-SSM activities, visits the office and may interview management.
- Registration about 30 working days, Employment Pass charge RM3,024.
- Diploma or certificate holders need 5 years' relevant experience.
Eligibility Checklist
- Incorporated in Malaysia.
- ICT-related business that is active and not dormant, with ICT as the core business.
- A physical office in Malaysia.
- Minimum paid-up capital for the equity category.
- Continuing compliance during the subscription and for the validity of any passes.
Capital by Ownership
| Ownership | Minimum paid-up capital |
|---|---|
| 100% locally owned | RM250,000 |
| Local and foreign owned | RM350,000 |
| 100% foreign owned | RM500,000 |
Qualifying and Non-Qualifying Activities
| Qualifying | Not qualifying |
|---|---|
| Infotech: application software, hardware design, business platforms | Trading, reselling hardware and software |
| Global Business Services, centres of excellence, software development services | Manufacturing, telecommunication services |
| Digital Content: animation, business information, platform content, research | Staffing, event management, training and consultancy |
| ICT scope incl. cloud, cybersecurity, data analytics, e-commerce | E-news, e-publishing, advertising, staff augmentation |
MDEC also names computer retail, including accessories, and cybercafés as not allowed or encouraged to apply for expatriate posts.
The Assessment
Submit
Register through the Expats portal with the ICT registration type and the non-MD checklist documents.
Assess
MDEC checks the e-SSM profile, visits the office and may interview senior management, targeting about 1 month from a complete application.
Decide
The approval committee decides, and the company is notified.
Accept
Nominate the authorised person, upload the Service Agreement and Authorised Person Letter.
Hiring a foreign IT professional? WhatsApp us. We will check your case before you apply.
After Registration
Company is registered with MDEC
MD companies subscribe through the Expats System. Non-MD ICT companies register and are assessed first. The company uploads the Authorised Person Letter and the Expatriate Service Agreement.
Obtain JTKSM section 60K approval
Apply through Xpats Gateway. Approval is valid for 12 months and one application covers several vacancies.
Advertise on MyFutureJobs
Obtain the PERKESO acknowledgement letter for the vacancy unless an exemption applies.
Submit the FKW Projection Request
File in the eXpats system with all mandatory documents. The FKW Approval Committee decides.
Submit the individual FKW application
File through Xpats Gateway with online payment. MDEC and Immigration approve or reject, and MDEC issues the letter.
Visa, endorsement and start
The applicant stays outside Malaysia until the Approval Letter is issued and any Reference Visa or eVisa is obtained. Endorsement at ESC KLIA Terminal 1 or at the Expats Service Centre follows.
Example: A Non-MD Software Company Preparing
Example. A locally and foreign-owned software company holds RM350,000 paid-up capital, a leased office and active customers. It prepares the non-MD checklist, expects an office visit, and allows about 30 working days. It plans its first hires only after registration, then follows the section 60K, MyFutureJobs and projection steps.
Common Mistakes
A virtual address as the office
MDEC requires a physical office premise.
Activities that read as staffing
The e-SSM profile is checked.
Shortfall in paid-up capital
The amount must meet the equity category.
How We Help
What we handle for you
Before you apply
- Check which MDEC route your company fits, MD status or non-MD ICT, and whether the post, salary and category match.
- Prepare the JTKSM, MyFutureJobs and supporting documents with your team and review them against MDEC's checklist.
Application
- Prepare the FKW projection and pass application for your company's authorised person to submit, and help you respond to MDEC and Immigration queries.
- MDEC states that companies are discouraged from nominating a third-party agent as the authorised person, so the submission stays under your own account.
Why companies choose us
End-to-end under one roof
- We handle company incorporation, Malaysia Digital status, accounting and payroll as well as expatriate pass preparation, so your structure, payroll and hiring plan stay aligned.
- The company is set up correctly from day one.
We check before you invest
- We confirm eligibility, including whether you can hire the expatriates you need, before a foreign investor decides to incorporate in Malaysia.
- Neutral Consulting PLT is a Kuala Lumpur firm led by a Managing Partner who is a member of the Malaysian Institute of Accountants.
Frequently Asked Questions
Straight answers to the questions we hear most.
Which companies can apply through MDEC?
MDEC's Expats Service Centre serves companies with Malaysia Digital (MD) status, or MSC Malaysia status, that are in operation and comply with the conditions of that status. It also serves ICT companies without MD status that are fully operational and use ICT as their core business, subject to a minimum paid-up capital, a physical office and an assessment by MDEC. Companies in non-qualifying activities, such as trading, staffing and staff augmentation, do not qualify.
What does an Employment Pass cost through MDEC?
MDEC's published charge is RM2,160 per applicant for an MD company and RM3,024 per applicant for a non-MD company, for new and renewal applications. A Dependant Pass or Social Visit Pass is RM540 per applicant, and an amendment of an approval letter is RM108. Immigration's own fees are on a separate Immigration schedule that MDEC links to, and this page does not quote them. Confirm the current amounts with MDEC before budgeting.
How long does an Employment Pass application through MDEC take?
MDEC states about 14 working days for an FKW Projection Request, about 7 working days for an individual FKW application, and 10 working days for the JTKSM section 60K approval that comes first. Endorsement takes 3 working days for an applicant already in Malaysia, and immediate endorsement at ESC KLIA Terminal 1 for an applicant arriving from abroad. A first-time MD company subscription takes about 2 working days, and a non-MD registration about 30 working days. These are stated service times for complete submissions, not guarantees.
Who counts as a foreign knowledge worker?
On MDEC's MD route, a foreign knowledge worker holds a bachelor's degree in any field, or a diploma in multimedia or ICT, or a specialised ICT certification, with at least 2 years of relevant experience, or holds a professional, executive, management or technical role in IT-enabled services. On the non-MD route the experience requirement for diploma and certificate holders is 5 years. MDEC also lists exemptions for Global Business Services and Creative Content roles.
Does staff augmentation qualify?
No. MDEC lists staff augmentation among the activities that do not qualify, describing it as resource requests through a request form, projects without project managers, pricing by resource tables or work permit costs, and resources with no service level commitment beyond available hours. MDEC states that it may check for these activities and revoke passes or MD status at any time.
Where is the full document list?
MDEC publishes an Employment Pass Checklist for MD Companies and one for Non-MD Companies, both version 3 with file names dated 28 May 2026, and an FKW Projection checklist and template for June 2026. They sit in MDEC's document library, which this page could not reproduce. Download the current version from MDEC rather than relying on any third-party list, ours included.
What is section 60K approval?
Section 60K of the Employment Act 1955 requires employers to get approval from the Department of Labour Peninsular Malaysia (JTKSM) before employing an expatriate. It applies to private sector employers in Peninsular Malaysia and Labuan under amendments effective 1 January 2023, applications go through Xpats Gateway from 1 July 2025, and it is required for new Employment Pass applications, valid for 12 months, and decided in 10 working days. Xpats Gateway states that operating without the required approval carries a fine of up to RM100,000, imprisonment of up to five years, or both.
Do we have to advertise the job on MyFutureJobs?
For new Employment Pass applications from 1 July 2025, Xpats Gateway requires the MyFutureJobs advertisement acknowledgement letter from PERKESO, with exemptions for renewals, in-country position or category changes, and positions on PERKESO's exemption list. PERKESO decides, and employers must follow its advertising guidelines. MDEC's pages describe this as SOCSO approval after advertising the vacancy.
What is an FKW Projection Request?
It is the request through the eXpats system for the number of foreign knowledge workers a company may hire. Under MDEC's June 2026 announcement, a company seeking new or additional FKW headcount files the request with all mandatory documents, MDEC reviews it, and the FKW Approval Committee decides. Only approved projection headcount allows the company to file individual FKW applications.
Can we use a consultant or agent for the application?
MDEC states that companies are discouraged from nominating a third-party agent as the company's authorised person. The authorised person is named in the Authorised Person Letter on company letterhead and signs up through the company's own account. A consultant can still help prepare documents, check them against MDEC's checklist and advise on the route, while the company's own authorised person submits. Xpats Gateway separately says a Private Employment Agency may submit section 60K applications as an authorised representative, although its own wording on who counts as one is unclear.
Does a non-MD company get a lower priority?
The pages reviewed describe no priority difference. The first set-up is longer and the MDEC charge higher.
What if the assessment finds a mismatch with e-SSM?
MDEC checks the company profile against e-SSM business activities. Incomplete documents or clarification requests can extend the timeline.
Who counts as locally owned?
MDEC's page lists the equity categories without defining them in the text reviewed. Ask MDEC if your ownership is mixed or held through companies.
Does the capital have to stay in place?
MDEC states the company must keep meeting all eligibility criteria during its subscription and for the validity of any passes issued.
Sources
Official sources
- MDEC, Pre-application process for non-MD companies
- MDEC, Application process for non-MD companies
- MDEC, Expats Service Centre: services and eligibility
- MDEC, FKW declaration, headcount and additional requirements (June 2026)
- Immigration Department (ESD), Xpats Gateway FAQ
This page is general information, not legal advice. Agencies change their requirements, so confirm the current rules with MDEC, the Immigration Department (ESD) and MIDA, or with us, before you act. Checked November 2026.
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