It was a good year for Malaysia tourism in 2025, a momentum that is expected to carry into Visit Malaysia (VM2026).
Visitor arrivals went up, air connectivity improved, and the country benefitted from a mix of practical policy decisions and shifting regional travel patterns. Through the first eight months of 2025, Malaysia welcomed 28.2 million foreign visitors, marking an approximate 14.5% year-on-year increase.
A key driver was visa-free access for China and India, two of Asia’s largest outbound markets. Chinese arrivals rose by roughly 27.5%, while visitor numbers from India grew by more than 20%, reinforcing Malaysia’s appeal among short- and mid-haul travellers.
Malaysia’s role as ASEAN Chair in 2025 helped raise its international profile. “It gave Malaysia greater visibility at key regional events,” said Mint Leong, president of the Malaysian Inbound Tourism Association. Industry players say this translated into stronger engagement with tour operators and new marketing partnerships across the region.
External factors also played a role. “Malaysia benefitted from geopolitical shifts in the region,” Leong noted. “Tensions between Japan and China redirected some Chinese travellers to Malaysia, while the Thai-Cambodia situation encouraged certain European travellers to consider alternative destinations in Southeast Asia.”
On the ground, performance varied by destination. Kuala Lumpur remained a firm favourite for short-haul travellers and city breaks. Penang and Melaka continued to attract foreign visitors drawn to heritage, food and culture.
Melaka, in particular, continued to ride on momentum built in 2024 following the appointment of actress Fan Bingbing as its Tourism Friendship Ambassador. Her campaigns generated more than 1.5 billion impressions on WeChat and helped lift Chinese arrivals to Melaka from 204,818 in 2023 to 664,687 in 2024, providing a strong base for continued interest in 2025.
In East Malaysia, Sabah and Sarawak continued to gain traction with nature-focused and long-haul travellers, supported by improved air links and government initiatives for Visit Malaysia 2026 (VM2026).
Domestic travel also showed a strong performance. As of September 2025, Malaysia recorded 216 million domestic visitors with a total expenditure of RM88.4 billion (US$21.8 billion).
Sustaining the growth momentum
Looking ahead, industry players say further gains will depend on access and competitiveness.
Air connectivity continues to shape market performance. “We are still not attracting Russian visitors, who find Vietnam more appealing,” Leong noted, pointing to the lack of direct flights to Malaysia. Vietnam and Thailand, she added, have benefited from better connectivity to markets Malaysia has yet to fully tap.
Competition from neighbouring destinations such as Thailand, Vietnam and Singapore also remains intense, particularly in attracting long-haul European travellers. Improving access, upgrading infrastructure and expanding market reach will be key if Malaysia wants to grow both visitor numbers and spending.