Home Ministry deputy Secretary-General Raja Azahar Raja Abdul Manap said the move would help the government better manage the growing population of foreign workers, meet labor shortages in certain sectors, boost security and reduce human trafficking. Malaysia has become a magnet for people from impoverished or war-torn places looking for work illegally or seeking a transit point to enter other nations, such as Australia.

Authorities estimate at least two million foreigners, many from neighboring Indonesia, work in Malaysia illegally. "The illegal immigrant population is growing rapidly and creating a lot of problems. Illegal workers are also depressing wages in the country. This amnesty exercise is part of the solution to manage our foreign workers," Raja Azahar said.

He said a Cabinet committee will meet later this month to finalize details, including the proposed July 1 launch date.