Qualitative analysis explores the economic burden of refugees in Malaysia, highlighting tax revenue losses.
Malaysia is not a signatory to either the 1951 Refugee Convention or the 1967 Protocol. Therefore, there is no mandatory responsibility for the government to assist stateless refugees seeking refuge in the country. However, the government has helped marginalized groups who are oppressed in their country of origin based on the principles of the Universal Declaration of Human Rights (UDHR) 1948. In addition, the government also applies the concept of non-refoulement in protecting the lives of refugees. Therefore, they are allowed to stay in the country, especially in Malaysia’s Immigration detention centers. As a result, the government has to bear the cost of running the refugee community which consists of food, shelter, operational expenses and medical cost. The economic burden of handling refugees has had an impact on the micro and macroeconomic ecosystem in Malaysia. This research uses a qualitative design with an in-depth interview with the government official responsible for economy because in order for the researcher to study in depth this issue that is related to the economic impact. The results of the study found that the Malaysian economy suffered losses in terms of taxes due to the labour economy involving refugees and speculators. This can be seen through the issue of leakage in tax revenues and the economic benefits that was generated. Thus, this study is very beneficial to all parties involved in managing and administering stateless refugees in this country.
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A 2023 study studied this question.
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