KUALA LUMPUR — Gymnasium operating licence fees in Kuala Lumpur have been slashed by 80%, from RM50 to RM10 per square metre, in a move aimed at boosting the local fitness sector and improving access to exercise facilities for the public.
The reduction, announced on March 3 by Minister in the Prime Minister’s Department (Federal Territories), Hannah Yeoh, will come into effect in January 2026. The decision follows consultations with industry stakeholders, including the Malaysian Gymnasium Operators Association (PPGM), which played a role in shaping the policy.
“The 80% reduction is the result of dialogues with industry players, including PPGM, aimed at fostering the fitness industry’s growth and improving access to gymnasiums,” the Federal Territories Ministry stated.
In Putrajaya, gym operating licence fees will be set at RM5 per square metre, further encouraging the expansion of fitness services in the region. The new rates are part of a wider effort to foster the fitness industry and offer more affordable options for the public.
However, in Labuan, gymnasium licences will still be governed by the Trade Licensing Ordinance (TLO), with a fixed annual fee of RM25, regardless of the premises size. The ministry clarified that the TLO applies only to businesses such as eateries, salons, and laundries and does not cover gym operations.
The department highlighted that the fee reductions align with growing public health concerns, especially the rising rates of non-communicable diseases like obesity, diabetes, and hypertension. These conditions are particularly prevalent in urban areas, where sedentary lifestyles and time constraints limit physical activity opportunities.
“The public health burden is especially acute in metropolitan areas, necessitating more responsive and targeted urban policies,” the statement continued.
The ministry also stressed that this initiative supports the government’s Healthy City Agenda, which aims to promote an active, inclusive, and community-oriented urban environment.
“The MADANI Government believes that a targeted incentive approach, combined with strategic collaboration with industry players, can significantly improve public health and reduce the long-term burden of non-communicable diseases,” the statement concluded. – March 5, 2026

