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alaysian Deputy Prime Minister Tan Sri Muhyiddin Yassin said on Tuesday that the fee to hire domestic workers from Indonesia would increase to RM8,000 or around Rp 24 million (US$2,424) from RM4,500.

Muhyiddin said the Malaysian government had agreed to increase the hiring fee for Indonesian domestic workers after the costs incurred by both sides were reviewed.

'€œThis has been examined by all parties, including Indonesia. They asked [for the increase] because the previous fees were deemed insufficient,'€ Muhyiddin said on Tuesday as quoted by Antara news agency.

The deputy prime minister admitted that although it was quite high, the cost was reasonable and comparable to other countries.

The establishment of the hiring cost is included in the memorandum of understanding (MoU) on Indonesian domestic workers agreed by Indonesia and Malaysia in 2011, the implementation of which has been delayed.

Muhyiddin said the changes in the cost structure were made after calculating training fees, travel document fees, living costs, transportation and health check-ups as well as recruitment fees for agents in the two countries.

The Malaysian authorities also decided that the 2012 minimum wage would not be applied to foreign workers on a temporary working visa (PLKS).

As of Oct.1, Malaysia is withdrawing the Journey Perform Visa (JP Visa). A social visit visa will be used to enter Malaysia and seek employment.