1. What is the official currency of Malaysia?

The official currency of Malaysia is the Malaysian Ringgit (MYR).

2. Are there any restrictions on foreign currency transactions in Malaysia?

Yes, there are restrictions on foreign currency transactions in Malaysia. The central bank, Bank Negara Malaysia (BNM), maintains various laws and regulations to control the flow of foreign currency in and out of the country. Here are some key restrictions:

1. Foreign Exchange Administration (FEA) Rules: These rules, implemented by BNM, regulate all foreign currency transactions by individuals and companies in Malaysia. Under these rules, residents are required to obtain approval from BNM for any transactions involving foreign currency, including investments abroad, remittances for overseas education or medical expenses, and import and export of goods and services.

2. Foreign Investment Restrictions: Non-residents are restricted from engaging in certain sectors such as agriculture, fishing, wholesale and retail trade, transportation, and telecommunications without prior approval from relevant authorities.

3. Capital Controls: In times of economic crisis or instability, BNM may implement capital controls to restrict the movement of foreign currency in or out of the country. This is done to stabilize the economy and prevent a sudden depletion of foreign reserves.

4. Restrictions on Ringgit Transactions: Non-residents are prohibited from conducting transactions with Malaysian Ringgit (MYR) unless it is through an authorized dealer or banking institution.

5. Limit on Currency Amount for Traveling: There is a limit on the amount of MYR that can be taken out of the country when traveling abroad. Currently, individuals can only carry up to RM 10,000 (around USD 2,430) of MYR without declaring it to customs officials.

It is important to note that these restrictions may change from time to time depending on the economic climate in Malaysia. It is advisable to check with BNM or a reputable banking institution before conducting any foreign currency transactions in Malaysia.

3. What is the current exchange rate for local currency to US dollar in Malaysia?

According to the current exchange rates on Google, as of August 15th 2021, the exchange rate for Malaysian Ringgit (MYR) to US Dollar (USD) is 4.2096 MYR to 1 USD. This means that for every 1 USD, you would receive 4.2096 MYR.

4. Is it better to use cash or credit cards for purchases in Malaysia?

It depends on personal preference and the specific circumstances. Using a credit card can be convenient and can provide additional benefits such as rewards points or cashback, but it may also come with fees or interest charges if not paid off in full. Cash can be helpful for budgeting and avoiding overspending, but it may also be less secure and harder to track expenses. Ultimately, it is important to consider the fees and benefits of each option and choose the one that best suits your needs at the time of purchase.

5. Do businesses in Malaysia typically accept US dollars or do they prefer local currency?

In general, businesses in Malaysia prefer to be paid in Malaysian ringgit (RM), the local currency. However, some larger businesses, such as hotels and tourist attractions, may accept US dollars as a form of payment. It is always best to check with the specific business before assuming they will accept US dollars.

6. Are there any hidden fees or charges when exchanging money in Malaysia?

It is possible for there to be hidden fees or charges when exchanging money in Malaysia, especially when using third-party currency exchange services or ATMs. It is important to carefully read the terms and conditions and ask about any additional fees or charges before making a transaction. Some common hidden fees may include:

1. Commission charges: Some currency exchange services may charge a commission fee on top of the exchange rate.

2. Administrative fees: These are service charges that may be levied by currency exchange companies for processing transactions.

3. ATM fees: When using an ATM to withdraw foreign currency, you may be charged a fee by the ATM operator as well as your own bank.

4. Dynamic currency conversion fees: When using your credit card to make purchases in Malaysia, some merchants may offer to charge you in your home currency instead of local currency, often at unfavorable exchange rates.

5. Minimum or maximum transaction amount fees: Some currency exchange services may have minimum or maximum transaction amounts and charge extra fees if you go over or under these limits.

It is always recommended to compare rates and read the fine print before making any foreign currency transactions in Malaysia.

7. Can I use ATMs from my home country bank in Malaysia to withdraw money?

Yes, you can use ATMs from your home country bank in Malaysia to withdraw money. However, there may be additional fees for using an international ATM or currency conversion fees. It is best to check with your home bank before using their ATMs in Malaysia. Additionally, you should inform your home bank of your travel plans to avoid any potential issues with international transactions.

8. Is it necessary to tip service workers and what is the customary amount in Malaysia?

Tipping is not mandatory in Malaysia, but it is appreciated for good service. The customary amount for tipping service workers in Malaysia is around 10% of the total bill. However, some restaurants may include a service charge in the bill, so it is always advisable to check before tipping. In addition to tipping servers at restaurants, it is also common to round up the bill or leave loose change as a tip for taxi drivers and hotel staff.

9. Can I purchase traveler’s checks before traveling to Malaysia, and are they widely accepted?

Yes, you can purchase traveler’s checks before traveling to Malaysia. They are widely accepted in major cities and tourist areas, but may not be accepted everywhere. It is best to have a mix of cash, credit cards, and traveler’s checks for your travels in Malaysia.

10. Are there any restrictions or limits on bringing foreign currency into or out of Malaysia?

There are restrictions on bringing foreign currency into or out of Malaysia. Residents of Malaysia are allowed to bring in an unlimited amount of foreign currency, but they are required to declare any amount exceeding MYR 30,000 (or its equivalent) upon arrival and departure.

Non-residents are allowed to bring in up to MYR 10,000 (or its equivalent) without declaration. Any amount exceeding this limit must be declared upon arrival and departure.

It is important to note that bringing in or taking out Malaysian Ringgit (MYR) is limited to an amount not exceeding MYR 1,000 for residents and non-residents alike.

It is also prohibited to bring in or take out more than MYR 5,000 worth of traveler’s cheques without prior written approval from the Central Bank of Malaysia.

Please note that these limits are subject to change and it is best to check with the relevant authorities before traveling.

11. Do major hotels and restaurants accept credit cards, and if so, which types are most commonly accepted?

Most major hotels and restaurants accept credit cards, with Visa and Mastercard being the most commonly accepted types. Some establishments may also accept American Express and Discover, but it is best to check with the specific hotel or restaurant beforehand.

12. Are there any unique features of the currency used in Malaysia, such as coins with different values or special designs?

Yes, there are some unique features of the currency used in Malaysia.

1. Different denominations: Malaysian currency, known as Ringgit (MYR) is divided into 100 sen. The coins available are in denominations of 5 sen, 10 sen, 20 sen and 50 sen. The banknotes are available in denominations of RM1, RM5, RM10, RM20, RM50 and RM100.

2. Polymer banknotes: In addition to the traditional paper banknotes, Malaysia also uses polymer banknotes which are made from a thin and durable plastic material. These notes are more difficult to counterfeit and have a longer lifespan compared to paper notes.

3. Unique designs: Each coin and banknote has a unique design that represents different aspects of Malaysian culture and heritage. For example, the RM1 coin features the national flower – hibiscus while the RM100 has an image of Mount Kinabalu, the highest mountain in Malaysia.

4. Special commemorative coins: From time to time, Malaysia releases special commemorative coins to mark significant events such as independence or sporting events like the Southeast Asian Games. These coins have a limited mintage and can be sold for higher values among collectors.

5. Dual language: All Malaysian banknotes feature both English and Jawi (Arabic script) inscriptions on one side while the other side contains English and Chinese characters.

6. Colored security threads: The higher denomination banknotes (RM50 and above) contain colored security threads embedded within them which glow under UV light to help prevent counterfeiting.

7. Braille feature: To assist visually impaired individuals, all Malaysian banknotes have a distinctive raised dot pattern at the top left corner.

8. Large numbers: The numbers on Malaysian banknotes are significantly larger than those found on most other currencies, making it easier for people with poor eyesight to identify them.

9. Sirih Pinang motif: In 2006, Bank Negara Malaysia introduced a special diamond-shaped motif called the Sirih Pinang pattern on all Malaysian coins and banknotes. This traditional Malay design represents unity and strength.

10. Numismatic collection: The central bank of Malaysia, Bank Negara Malaysia, has a numismatic gallery where visitors can learn about the history of currency in Malaysia, view rare coins and banknotes, as well as purchase commemorative coins and other collectibles.

13. Is haggling acceptable when making purchases, especially in markets and smaller shops?

In many countries, haggling is a common and accepted practice, especially in markets and smaller shops. It is important to be respectful and polite while negotiating prices, and it is recommended to start with a lower offer and gradually increase if necessary. However, in some places haggling may be seen as disrespectful or offensive, so it is important to research local customs and etiquette before attempting to negotiate prices.

14. Can I pay for goods and services with a mix of both local currency and US dollars?

This would depend on the specific policies of the vendor or establishment accepting payment. Some may allow for a mix, while others may only accept one form of currency. It is best to check with the vendor beforehand to see what forms of payment they accept.

15. What is the most convenient way to exchange money while traveling through different regions of Malaysia?

The most convenient way to exchange money while traveling through different regions of Malaysia is to use ATMs or credit/debit cards. Most international debit and credit cards are accepted at major banks and ATMs throughout the country. Additionally, you can also exchange money at authorized money changers, banks, or hotels, although they may charge higher fees and offer less favorable exchange rates compared to ATMs.

16. Are there alternative forms of payment in addition to cash and credit cards, such as mobile payments or digital wallets in Malaysia?

Yes, in addition to cash and credit cards, there are alternative forms of payment widely used in Malaysia such as mobile payments and digital wallets. Some popular options include:

1. Touch ‘n Go eWallet: This is a digital wallet that allows users to make cashless payments for various transactions such as shopping, food delivery, transportation, bill payments, and more. Users can top-up their eWallet via online banking, credit/debit card or direct debit from their bank account.

2. Boost: Another popular digital wallet in Malaysia, Boost allows users to make payments at participating merchants by scanning a QR code. Users can also transfer money to other Boost users and earn rewards through the app.

3. GrabPay: Known primarily as a ride-hailing service, Grab also offers a mobile wallet feature called GrabPay that can be used for both offline and online transactions.

4. AliPay: The Chinese company Alibaba has expanded its payment services to Malaysia in partnership with local banks. Users can pay using their AliPay account at merchants that accept this form of payment.

5. Razer Pay: A mobile wallet by gaming company Razer Inc., Razer Pay allows users to top up their account via online banking or physical cash at participating retail outlets.

Other mobile payment options in Malaysia include Maybank QRPay, WeChat Pay, UnionPay Quickpass, Samsung Pay, and more.

17. Is tipping expected during taxi rides, at hotels, or at other specific locations like spas or salons in Malaysia?

Tipping is not expected in Malaysia, but it is becoming more common in certain industries. In general, tipping is not expected during taxi rides, at hotels, or at spas and salons. If you are happy with the service you received, a small tip may be appreciated, but it is not mandatory. Some higher-end restaurants may add a 10% service charge to the bill, but this is not considered a tip and there is no need to leave additional gratuities.

18. Are there certain stores where tourists can receive tax refunds on their purchases before leaving Malaysia?

Yes, tourists can receive tax refunds on their purchases at participating stores under the Malaysia Shopping Tax Refund (MSTR) Program. Tourists will need to fill in a refund form and present it along with the goods, receipts and passport at the MSTR counter located at the airport before departure. The minimum purchase amount to be eligible for tax refund varies between stores. For more information, visit www.mptravel.my

19..How should I handle my leftover foreign currency when departing from Malaysia, including coins and smaller bills?

1. Spend it at the airport: Many airports in Malaysia have duty-free shops, where you can use your leftover currency to purchase items. You can also use it at restaurants or other establishments within the airport.

2. Exchange it at a bank or currency exchange counter: Most banks and currency exchange counters will allow you to exchange your leftover foreign currency for Malaysian Ringgit. However, be aware that they may charge a commission fee.

3. Keep it for your next trip: If you plan on returning to Malaysia in the future, you can keep your leftover foreign currency for use during your next trip.

4.Plan ahead and exchange before leaving: To avoid having too much leftover foreign currency, consider exchanging it back to Malaysian Ringgit before departing from Malaysia. You can do this at a bank or currency exchange counter in the city.

5.Donate it: You can donate your leftover foreign currency to charity organizations or local community groups. This way, you can help others while also getting rid of your unused cash.

6.Souvenir or gift: Consider using your leftover foreign currency to buy souvenirs or gifts for friends and family. It’s a unique way to share your travel experiences with them.

7.Use it in transit countries: If you have connecting flights in other countries before reaching your final destination, you can use your leftover foreign currency during layovers at airports or when exploring the city during a long layover.

20. Is there a limit on the amount of local currency I can withdraw from ATMs in Malaysia each day?

Yes, most banks in Malaysia have a daily limit on the amount of local currency that can be withdrawn from ATMs. The specific limit may vary depending on the bank and the type of account you hold, but it is typically between 1,000 to 3,000 Malaysian Ringgit per day. It is always a good idea to check with your bank for the exact limit for your account before traveling to Malaysia.