Malaysia’s Housing Ministry Reaffirms Neutrality in Drafting New Residential Tenancy Act

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Malaysian Housing Ministry Assures Neutrality in Housing Laws, Proposes New Residential Tenancy Act

The Ministry of Housing and Local Government has reaffirmed its commitment to neutrality in all housing-related initiatives, ensuring that laws and regulations protect the rights and interests of all citizens without discrimination based on race or religion. This commitment aligns with the principles of Malaysia’s Federal Constitution and is central to the Madani government’s policies.

In a written response to the Dewan Rakyat, the Ministry clarified that the draft Residential Tenancy Bill (RTA) upholds an unbiased legal framework, ensuring equal rights for both tenants and property owners regardless of race or religious background. The ministry emphasized that all residential tenancy agreements will be based on mutual consent, with built-in mechanisms within the RTA to resolve potential disputes.

Addressing Discrimination Concerns in the Rental Market

The ministry’s response followed an inquiry from Aminolhuda Hassan (Pakatan Harapan-Sri Gading), who raised questions regarding the timeline for enacting the RTA and the ministry’s approach to addressing racial and religious discrimination within residential tenancies. The ministry noted that the RTA aims to balance the rights and responsibilities of tenants and property owners, explicitly stating that the Act will not introduce rent control measures.

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Extensive Consultations and Stakeholder Engagement

The drafting of the RTA follows multiple rounds of engagement, including a public consultation process in 2022. Key findings from these consultations underscored the need to refine various aspects of the Bill to meet the expectations and needs of all stakeholders. In line with this, the ministry is conducting further engagement sessions with state governments and stakeholders, beginning in November 2024, with final consultations expected by Q1 2025.

Feedback gathered from these sessions will be integrated into the final version of the RTA to ensure a fair and comprehensive framework that aligns with Malaysia’s existing laws.

Aiming for a Competitive and Well-Governed Rental Sector

According to the ministry, the new RTA is designed to enhance governance and competitiveness in Malaysia’s rental sector. By setting clear guidelines and establishing a neutral legal framework, the Act will provide robust protections for both landlords and tenants. The ministry emphasized that the legislation would improve transparency and governance without compromising the rights and interests of either party.

This upcoming legislation represents a progressive move to regulate and stabilize Malaysia’s rental market, encouraging fair and equitable practices that foster trust and transparency.

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