Targeting Foreigners Spouses in an 'Unholy' War
Targeting foreign spouses in business risks fueling xenophobia, critics warn, urging Malaysia to balance regulation with inclusivity and economic progress
Recent remarks by Domestic Trade and Cost of Living Deputy Minister Dr Fuziah Salleh have reignited debate over the role of foreign spouses in Malaysia’s business landscape. Fuziah highlighted how some foreigners marry locals to register businesses under their spouses’ names, a practice she claimed poses a threat to local traders.
Under the Registration of Businesses Act 1956, only Malaysian citizens and permanent residents are allowed to register sole proprietorships or partnerships. This has led foreign spouses — often from Bangladesh, Pakistan, India, Africa, Arabia, or Turkey — to rely on their local partners to legally set up small businesses. While the law technically permits such registrations, Fuziah said many locals feel uneasy, urging stricter measures such as requiring a minimum waiting period after marriage before foreign spouses may operate businesses.
Yet critics argue this framing risks unfairly targeting foreign spouses, many of whom are Muslims, and paints them as opportunists rather than contributors to Malaysia’s economy. As of May 2025, nearly 5,000 foreign companies were officially registered in Malaysia, while Micro, Small and Medium Enterprises (MSMEs) — which include businesses run by local-foreign couples — account for 96.1% of all establishments. These numbers underscore the vital role of both locals and foreigners in sustaining Malaysia’s business ecosystem.
Alienating families
Analysts warn that framing foreign spouses as a threat may create unnecessary division, especially when Malaysia is positioning itself as an advanced, globally connected nation. “Attacking the foreign spouses of locals who are doing business — by implying they exploit loopholes — risks alienating families and undermining Malaysia’s multicultural fabric,” said one commentator.
Critics also point out the double standard: while Malaysia actively courts foreign direct investment and welcomes multinational corporations, it simultaneously stigmatizes foreign spouses of citizens who attempt to build livelihoods on a smaller scale. For many, these businesses are not about exploitation but about survival, family stability, and integration into Malaysian society.
Rather than punitive restrictions, experts suggest that the government should focus on education — both for policymakers and the public — to clarify the rights of foreign spouses and highlight their positive contributions. Stronger enforcement against genuine illegal traders should be balanced with compassion and fairness toward families who have chosen to make Malaysia their home.
Unholy War
For a nation striving toward inclusivity and prosperity, critics say such policies must avoid appearing as an “unholy war” against foreign spouses, and instead reflect Malaysia’s vision of unity, moderation, and economic progress.
Johan Chairil