KUALA LUMPUR, Oct 10 — Prime Minister Datuk Seri Anwar Ibrahim’s newly announced Budget 2026 was met with approval from the Cabinet, which commended its balanced approach in promoting national development while safeguarding citizens’ wellbeing, emphasising quality of life for all, and reinforcing the nation’s economic resilience.

On the economic outlook, Finance Minister II Datuk Seri Amir Hamzah Azizan described the budget as a truly stimulating budget that will further strengthen the domestic economy. 

“Although the global environment presents many challenges, within our own country, if we work hand in hand, we can drive growth ourselves without relying on external help,” he said in a press conference after the Budget 2026 tabling ended.

He added that in terms of governance, the government’s efforts have succeeded in reducing inefficiencies, allowing the savings to be channelled back into improving public services. 

As a result, he said allocations for education and healthcare have been increased.

“By doing so, we can reinvest the savings to further improve public services. Accordingly, allocations for education and healthcare have also been increased through the initiatives we have undertaken.

“Alhamdulillah, this is the spirit we carry forward as we continue our journey to build a better Malaysia,” he said.

Amir also explained that the budget adopts a new approach where it draws funds not only from the government but also from government-linked investment companies (GLICs), government-linked companies (GLCs), public-private partnership (PPPs) and other statutory bodies.

He noted that the framework adopted is based on the Madani economic model, which continues to focus on stimulating growth, raising the economic ceiling, and attracting more industries to invest in Malaysia. 

“The budget includes a wide range of incentives aimed at encouraging both foreign investment and strengthening domestic investment, in order to further invigorate Malaysia’s economy,” he added.

Deputy Prime Minister II Datuk Seri Fadillah Yusof described it as the people’s budget, reflecting a collective government effort to manage public finances effectively and extend benefits to all segments of society, including various economic sectors. 

He said it places the people at the core of national priorities, aiming to strike a balance between economic stability and public well-being.

“According to the prime minister, the Budget is grounded in principles of good governance, highlighting fiscal discipline and prudent spending while staying responsive to the needs of the people. 

“The services delivered by the government are intended to translate into tangible gains for the public, reinforcing economic confidence,” he said.

He also said the Budget also places strong emphasis on sustainability as it focuses on wise spending for the people, responsible management of national finances and protection of the country’s long-term future.

Fadillah explained that it also underscores the importance of transparency and integrity as key factors in strengthening investor and public confidence. 

“These measures are designed to enhance national resilience, allowing families the opportunity to rebuild their lives. 

“Through targeted assistance, it aims to ease cost-of-living pressures while prioritising education, healthcare and human capital development to improve living standards, enabling citizens to obtain not only employment but also better-quality incomes,” he added.

For Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi, he said the Budget was positioned not only as a shield against global economic challenges but also as an investment in a sustainable, resilient and prosperous future for Malaysia.

He said the Budget also prioritised Technical and Vocational Education and Training (TVET), with funding increasing from RM7.5 billion to RM7.9 billion. 

“The government also emphasised advancing high-technology TVET in areas such as artificial intelligence (AI), electric vehicles (EV), robotics and other emerging industries. An additional RM150 million was allocated for TVET institutions offering Tahfiz and Huffaz programmes, to be implemented through national educational institutions,” he added.

Anwar today announced a RM470 billion federal budget for 2026.

According to the government’s Fiscal Outlook and Federal Government Revenue Estimates report, total revenue for 2026 is forecast to grow by 2.7 per cent to RM343.1 billion, a slight moderation from the 2.9 per cent growth seen in 2025.

 Malay Mail – Malaysia