Malaysia's 2027 budget to focus on boosting income and jobs

The Malaysian government will prioritize efforts to increase the income of its people, expand quality employment opportunities, and tackle the rising cost of living through targeted and sustainable approaches. These objectives form the core of the upcoming fifth Madani Budget 2027, scheduled for presentation on October 9. Second Finance Minister Datuk Seri Amir Hamzah Azizan stated the primary goal is to ensure economic growth benefits are broadly shared across all segments of society.

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Budget 2027 is a budget that considers global economic uncertainties and the rakyat's rising expectations for government delivery.

The 2027 budget will concentrate on three primary areas: raising the economic ceiling, improving the economic floor, and strengthening good governance. "Budget 2027 is a budget that considers global economic uncertainties and the rakyat's rising expectations for government delivery," Amir Hamzah explained during a pre-budget engagement session. The focus includes bolstering the nation's economic resilience, safeguarding welfare, and implementing measures to enhance fiscal sustainability.

To raise the economic ceiling, the government will continue to enhance Malaysia's economic competitiveness by encouraging high-quality investments, boosting productivity, and accelerating the development of strategic sectors. These sectors, including semiconductors, energy transition, the digital economy, artificial intelligence (AI), and Islamic finance, are expected to generate added value, high-income jobs, and sustainable economic growth. The government also aims to empower micro, small, and medium enterprises (MSMEs) and startups as drivers of domestic economic growth through improved access to financing, digitalization, innovation, and market expansion.

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The government encourages a culture of innovation, research, and technology commercialization to create economic growth driven by value creation.

Furthermore, the government is committed to improving public services in line with the 13th Malaysia Plan (RMK13), focusing on strengthening the education system, enhancing healthcare quality, and developing human capital. Amir Hamzah also acknowledged the vital role of NGOs, civil society organizations, and strategic partners in ensuring social assistance and interventions reach vulnerable groups effectively, reinforcing the social protection network to ensure no one is left behind in national development. Efforts to strengthen good governance include improving the business ecosystem through regulatory enhancements, investment facilitation, and digitalizing service delivery.

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The government values the role of NGOs, civil society organizations, and strategic partners in ensuring social assistance and interventions can be delivered more comprehensively, especially to vulnerable groups.