Arya News - Local organisers remain sceptical as they see other regulatory hurdles in Malaysia that can deter top-tier performers from choosing the country.
PETALING JAYA – A slew of international events have been lined up as the country prepares for an influx of visitors in 2026, with the government’s Concerts and Events in Malaysia Incentive (CEMI) providing a boost.
The incentive, with an initial allocation of RM10mil, was announced in April.
Local organisers, however, remain sceptical. They see other regulatory hurdles in Malaysia that can deter top-tier performers from choosing the country.
“CEMI is a good initiative to bring in more big names, but the challenge is whether our policies can keep up,” said Arts, Live Festival and Events Association founder and advisor Paramanathan Rajagopal.
“We can pay the artistes and offer incentives, but if they cannot get approved to perform here, then it defeats the purpose.”
He said unlike markets such as Singapore, Malaysia’s decisions are shaped by cultural, racial and political sensitivities.
These considerations, he said, were increasingly factored in by international artiste management teams.
Leading global acts, he said, prioritised the ability to deliver their full creative expression – within local rules – and any ambiguity in guidelines could discourage them.
“They are not trying to break the rules, but different countries have different cultural standards, and when you put on a show, you cannot cater to every culture.
“That is why the incentive needs to come hand-in-hand with friendlier, more encouraging policies that make the approval process clearer,” he said.
He said streamlining approvals would not only make it easier for organisers to secure high-demand acts, but also allow Malaysia to better compete with neighbouring countries for music tourism and large-scale entertainment events.
“Medium to large-scale events attract high-value travellers who spend more and contribute to quality tourism, so we hope to see more of these events supported,” said Datuk Grace Lee, managing director of Milestone Production.
She said Malaysia’s successful hosting of this year’s Asean Summit showed how far the nation’s infrastructure and inter-agency coordination have come.
The country also hosted multiple major concerts in the same period.
Nevertheless, she said there are still areas that require refinement.
“What we can improve on are faster approvals and more consistent SOP, which would make Malaysia even more attractive for top-tier global acts,” she said.
Lee emphasised that the live events carry “enormous multiplier potential”, with benefits extending far beyond ticket sales.
A single major event, she said, creates demand for local vendors, technical crews, hospitality players, transport providers and small and medium enterprises.
Looking ahead to Visit Malaysia 2026 (VM2026), Lee believes Malaysia is well-positioned to turn major international events into a sustained economic engine.
On whether cultural sensitivities could hinder Malaysia’s ability to attract world-class performers, she said the country could strike the right balance.
“Malaysia’s cultural values are important, and international acts recognise and respect that.
“What they need is clear guidance and a bit more flexibility so they can express their creativity confidently and in harmony with local expectations,” she said.
Lee said there could be greater spillover benefits if CEMI is paired with targeted policy support.
“Scrapping the 10% entertainment tax for international shows VM2026 and digitalising artiste permits for faster, more predictable approvals, would significantly boost promoter confidence,” she said.
Under CEMI, international organisers are required to spend a minimum of 20% of their total Qualifying Malaysian Concert and Event Spend domestically and ensure at least 30% Malaysian involvement in their project.
Those who meet this criteria can receive rebates of up to 30% of actual local spend, capped at RM1.5mil.
Additional bonuses of RM100,000 are available for events that incorporate local artistes and achieve at least 60% ticket sales 30 days before the event date.