Selangor Resilience Package funded by state spending cuts

Selangor's state government has unveiled the RM355.06 million 2026 Resilience Package, a significant financial commitment derived from targeted savings within the state's RM3.23 billion expenditure for the current year. This initiative underscores the state's fiscal prudence and its commitment to supporting its citizens.

Menteri Besar Datuk Seri Amirudin Shari detailed that the savings, amounting to RM230 million, were realized through a series of cost-cutting measures. These included the postponement of non-essential overseas trips and the rescheduling of various state government programs. This strategic financial management allows the state to reallocate funds towards crucial development and welfare initiatives.

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The funding comes from restructuring the measures we have set, which is a savings target through a 95 percent ceiling for management expenditure and 90 percent for development expenditure.

The Resilience Package will also be bolstered by contributions from local authorities. These contributions will manifest in various forms, including assessment tax rebates, support for school breakfast programs, and reduced rental fees for market stalls and business spaces. This multi-faceted approach ensures that the benefits of the package reach a broad spectrum of the community.

Amirudin explained that the funding mechanism involves a restructuring of existing allocations, adhering to a 95% ceiling for management expenditure and a 90% ceiling for development expenditure. He noted that RM140 million has already been disbursed, with an additional RM200 million planned for the second phase of the package. The state aims to remain within its approved budget of RM3 billion for expenditure and RM2.8 billion for revenue, demonstrating a disciplined approach to public finance.

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With these two measures, the state government not only managed to save RM230 million from our total expenditure, RM3 billion. We have spent RM140 million, and for the second session, we will spend another RM200 million.