The Ireland-based publication released its much-anticipated list recently, assessing 20 countries based on several key factors including cost of living, healthcare, visa and residency options, climate, governance, and lifestyle.

Malaysia and Thailand are the only Southeast Asian nations to make the top 10, with Thailand in 10th place.

The report highlights Malaysia’s strong appeal to foreign retirees thanks to its affordability, infrastructure, and multicultural charm.

“Malaysia offers a rare blend of low-cost living, excellent medical care, and vibrant culture that retirees find both accessible and enriching,” the report says.

It notes that rental costs in KL are significantly lower compared to major western cities, while dining out is also remarkably affordable.

States like Penang and Melaka, meanwhile, offer slightly lower living costs with a more relaxed pace of life, making them attractive retirement hubs.

The report further commends Malaysia’s tropical climate, which, combined with the country’s modern amenities and English-speaking population, contributes to a smooth transition for retirees.

Long-term visa options, such as the “Malaysia My Second Home” (MM2H) programme, are also cited as a plus point for foreigners looking to retire here.

Panama tops the 2025 index, followed by Portugal, Costa Rica, Mexico, France and Spain. Other countries in the top 10 include Greece and Italy.

Read the full report here.