The government has put on hold until January a massive deportation of up to 700,000 illegal Indonesian migrant workers.

The move follows warnings from Jakarta earlier this month that a crackdown on its citizens in Malaysia before or during Indonesia's Sept 20 presidential elections could hurt bilateral relations.

"This decision is not a compromise but suits us well," Malaysia's Home Affairs Minister Azmi Khalid was quoted as saying by the New Straits Times today.

Malaysia was working on a biometric system to record the entry and exit of foreigners which would only be ready in five months, Azmi said.

"Without the system, keeping illegal immigrants at bay would be a futile effort."

Tough laws

He warned that "once we start the operation, (illegal immigrants and their employers) will be liable for the harshest punishment."

Under tough laws introduced two years ago, the migrants face fines of up to RM10,000 per offence, a jail sentence of up to five years, or both, with whipping.

Eighteen thousand illegal immigrants have been whipped in Malaysian prisons in the past two years and another 16,900 are awaiting their turn, local newspapers reported last week.

Azmi has said there are an estimated 1.2 million illegal workers in the country. Most are from neighbouring Indonesia and the Philippines, drawn to relatively prosperous Malaysia by jobs in construction, plantation work and services.