There are sites&cultural music resources which offer free Malayalam songs, new releases, free Malayalam mp3, movie songs, cultural folk songs, tribal music, Malayalam music downloads online, lyrics databases etc. Some music sites offer them free while some may charge a small fee to register to download their songs or mp3s.

You can find free Malayalam songs here:

http://www.kjyesudas.com/

http://www.keralam.org/Songs1.html

http://meltingpot.fortunecity.com/cavendish/193/index.html

http://www.keralaeverything.com/ent/mus.htm