This article presents a case study of Malaysia's inroad in internationalising its higher education system for the past three decades and proposes recommendations and the way forward in internationalisation. Internationalisation is one of the critical agenda in Malaysia's higher education transformation with an end target of becoming an international hub of higher education excellence by 2020. The country is no stranger in internationalisation as efforts in student mobility, academic programmes and international collaboration have started since the 1980s and 1990s. As with other higher education systems globally, it was the private sector that initiated and sustained efforts in internationalisation of Malaysian higher education. With the growth in international student enrolment, the country has established itself as a student hub; however, greater focus and clarity in direction should be set forward in accelerating Malaysia's progress in internationalisation, with research and development as a potential catalyst. The article also questions Malaysia's current standing with regard to internationalisation and the need in facilitating higher education institutions to build their capacity in internationalisation, highlighting the important roles of individual institutions at both public and private sector that drive the country's internationalisation agenda.