The decision ends a brief but successful stay by the Lions XII, who won the Malaysian Super League in 2013 and the Malaysian FA Cup in May after returning to Malaysian football in 2012.
Singapore had earlier departed the football scene in neighbouring Malaysia in 1994 after winning the Malaysian league and cup double.
A statement posted on the FAM late on Tuesday said a four-year memorandum of understanding signed with Singapore in 2011 will not be extended.
“This means the visiting team from Singapore that is Lions XII will not be playing in the M-League from the 2016 season,” the statement said.
FAM officials were not immediately available for comment, but the Malay Mail newspaper Wednesday cited deputy president Afandi Hamzah as saying the decision was motivated by travel costs.
“The biggest concern was the cost involved. It was not cheap travelling to and from Singapore and many teams found it difficult,” he said. – Agence France-Presse