• 2025-09-21 07:00 AM

PETALING JAYA: Following theSun’s earlier report on prolonged delays in the DE Rantau Nomad Pass, the Malaysia Digital Economy Corporation (MDEC) has issued assurances that swift measures are being taken to resolve the issue.

MDEC explained that it is working closely with the Immigration Department to address renewal backlogs that left some applicants stranded abroad or placed on tourist passes, despite approvals being promised within six to eight weeks.

Some delays stretched up to five months, causing financial strain and uncertainty.

“We acknowledge the concerns that have been raised and are addressing them on a case-by-case basis. Some have already been resolved, while others are ongoing,” a spokesperson said via WhatsApp, adding that improved coordination with the Immigration Department, enhanced tracking systems and streamlined procedures are being implemented to ensure both efficiency and security.

The agency stressed that action has been taken since the report on Sept 8 highlighted individual cases.

Penang-based digital nomad Sandra Iskandar, who was previously stranded, confirmed her renewal was finally approved last week.

“Just on Thursday, we got our renewals. MDEC responds quickly, but most replies were ‘not much we can do, it’s an IT issue’. I hope others will also get theirs soon because many are still struggling and facing massive financial losses,” she said.

Ukrainian software engineer Nikita Shaposhnik said his case had also progressed.

“They are now working on my case, but the timeline for approval has yet to be confirmed. I’m just happy I’m finally getting a positive update,” he added.

The DE Rantau Nomad Pass, introduced in October 2022 under the Malaysia Digital initiative, was designed to attract high-spending, location-independent workers and help generate RM4.8 billion by 2025.

Since its launch, more than 6,000 applications have been submitted, with over 1,500 pass holders and their families now residing in Malaysia.

However, experts warned that bureaucratic setbacks could blunt Malaysia’s edge as a digital nomad hub.

UKM digital economy expert Assoc Prof Dr Stephanie H.W. Chuah noted that nomads spent between RM8,000 and RM10,000 monthly in 2023, with spillover benefits in housing, food, travel, education and healthcare.

“With many being high-income earners, the spillover into sectors such as education and healthcare should not be underestimated. They are not just consumers but also create demand for services such as co-working and co-living,” she said.

UM Asia-Europe researcher Assoc Prof Dr Sameer Kumar described nomads as “agents of knowledge” who bring global networks and cutting-edge practices.

“The RM4.8 billion target is significant but the real value lies in the spillover effect. Delays risk becoming psychological barriers for nomads deciding where to live.

“Malaysia should consider publishing real-time processing dashboards and creating a ‘Trusted Nomad’ tier with expedited renewals after one compliant year,” he suggested.

UniSZA economist Dr Sheikh Ahmad Faiz Sheikh Ahmad Tajuddin agreed unresolved hiccups could weaken Malaysia’s appeal.

“Their contribution extends beyond housing, food and transport into wider multiplier effects across the services sector. Nomads also bring globally earned income into Malaysia, strengthen its knowledge economy and enhance its visibility as a remote-work hub. But bureaucratic issues must be ironed out,” he stressed.

The National Tech Association of Malaysia said the country’s fundamentals remained strong but consistency was crucial.

“While we have not heard of significant delays in processing of DE Rantau, we would need to ensure that expectations of remote professionals are met,” said its chairman Alex Liew.