Magnesium-rare earth (Mg-RE) alloys, as potential biodegradable materials, are attracting considerable attention owing to their good mechanical properties and biodegradationbehavior. Indeed, some RE elements within certain amounts of addition have proved toexhibit biocompatibility. Two main strategies have been applied to develop biomedical MgRE alloys. One strategy depends on the industrial fabrication system for these alloys whilethe other is to redesign them from the view point of biomaterials. In this work, the advancesin new Mg-RE alloys design are reviewed. It is also summarized the mechanical properties,biocorrosion resistance and biocompatibilities of currently reported Mg-RE alloys. Then, several Mg-RE alloys that may be used in future medical applications are proposed. Finally, astrategy for ongoing development of biomedical Mg-RE alloys is suggested.