Kuala lumpur: Malaysia continues to strengthen its position as a competitive medical tourism destination, supported by growing demand from foreign patients seeking quality and reasonably priced healthcare services. Finance Minister II Datuk Seri Amir Hamzah Azizan said private hospitals in Penang, Johor, and the Klang Valley continued to attract foreign patients, reflecting Malaysia's strong value proposition in the healthcare sector.

According to BERNAMA News Agency, Amir Hamzah noted that facilities like Island Hospital in Penang have a significant number of international patients, underscoring the country's ability to offer reasonable and high-quality healthcare. The demand is similarly robust in hospitals across Johor and the Klang Valley, highlighting a burgeoning sector that merits continued support.

Despite the implementation of a six per cent sales and service tax (SST) on private healthcare services, the government has provided necessary exemptions to ensure the measure does not place undue burdens on the population. Amir Hamzah explained that the SST was introduced to bolster the government's revenue base and improve the nation's fiscal space.

The healthcare SST revenue is funneled into the Consolidated Fund, supporting the government's overall fiscal expenditure. Amir Hamzah highlighted that exemptions are made in specific areas, such as the sugar tax, which was increased last year to combat diseases related to diabetes and kidney issues.