Regulation of Multi-storey Residential Ownership by Foreign Nationals in Indonesia and Malaysia: A Legal Perspective and Islamic Principles

Abstract

This study analyzes the regulation of multi-storey residential ownership by foreign nationals (WNA) in Indonesia and Malaysia from the perspective of Islamic law and principles. The issue requires clear and fair arrangements to protect national interests and local residents' rights. Both countries, with majority Muslim populations, integrate Islamic principles into public policy, including property. Using a comparative study and qualitative analysis, the research examines Indonesia's Government Regulation No. 103 of 2015 and Malaysia's "Malaysia My Second Home" (MM2H) program and strata title regulations. Findings reveal that both countries emphasize social justice and the protection of local citizens' rights in line with Islamic principles. The study concludes that regulations should be refined with Islamic principles to attract foreign investment and protect national interests, focusing on simplifying bureaucracy, increasing transparency, and reviewing property price policies.