Deepavali

Deepavali or Diwali popularly known as the "festival of lights," is a five-day Hindu festival which starts on Dhanteras, celebrated on the thirteenth lunar day of Krishna paksha (dark fortnight) of the Hindu calendar month Ashwin and ends on Bhaubeej.

Malaysia does celebrate Deepavali as we have 3 races and Indian is the 3rd largest race in Malaysia. It is public holiday throughout the country except Sarawak. Although not a public holiday in Sarawak, Hindu in Sarawak does celebrate the big festival at their own.

Pictures source from Google

Some reading to understand how Sarawak Hindu celebrate their big festival.
http://www.theborneopost.com/2012/11/13/declare-deepavali-a-state-holiday-indian-leaders/