KUALA LUMPUR: Prime Minister Datuk Seri Anwar Ibrahim tables the 2027 Budget in the Dewan Rakyat.
The Budget focuses on strengthening household support, expanding education and healthcare funding, improving wages and social protection, and accelerating infrastructure and economic development, while supporting Bumiputera businesses and regional growth.
Follow ourr latest updates and key highlights.
- The government will increase the one-off lump-sum Ex-Gratia Waris benefit for next-of-kin to a maximum of RM50,000 from RM20,000, subject to the length of service.
The increase is in addition to the monthly Ex-Gratia Waris benefit for cases involving deaths caused by workplace accidents or disasters.The revised benefit will take effect from Jan 1, 2026.
- The government will increase hourly allowances for members of the Malaysian Volunteer Corps (Rela), volunteer firefighters, police volunteers and civil defence volunteers to RM9 for ordinary volunteers and RM10.80 for supervisors under Budget 2027.
The initiative involved an allocation of RM339 million and would benefit nearly 50,000 volunteers.
- The government will spend more than RM500 million to build military family housing in Skudai, Johor, and new quarters at immigration detention depots in Langkap, Perak, and Papar, Sabah.
The projects would benefit nearly 900 personnel.
- The government has increased the allocation for the construction and maintenance of quarters for civil servants, including police officers, doctors, military personnel, teachers and firefighters, to RM2.3 billion.
- The government has agreed to increase the total maternity leave entitlement throughout an employee's service from 360 days to 490 days, raising the maximum maternity leave to 98 days per birth.
An allocation of RM20 million has been set aside to upgrade childcare centres at government facilities.
- The Middle East crisis has increased fuel subsidies to RM40 billion. The fiscal deficit for 2026 is now projected at 3.6 per cent, compared with the original target of 3.5 per cent.
- Federal revenue this year is projected to be higher at RM363.6 billion, compared with the initial estimate of RM343.1 billion. Revenue is expected to rise further to RM380.8 billion next year.
- Federal revenue this year is projected to be higher at RM363.6 billion, compared with the initial estimate of RM343.1 billion. Revenue is expected to rise further to RM380.8 billion next year.
- The government will provide a one-off special financial assistance of RM1,000 each to 38,000 taxi and rental car drivers, as well as 15,000 school bus drivers nationwide, following the recent sale of special H-series vehicle registration numbers.
Prime Minister Datuk Seri Anwar Ibrahim said the assistance would be disbursed next week.
He said the government had also channelled proceeds from special number plate sales back to the public through initiatives including RM500 flight ticket assistance for university students, free Class B2 motorcycle licence tests for underprivileged youths and the distribution of free helmets.
- The Fifth Madani Budget will continue an expansionary fiscal policy, mobilising the country's collective resources through an overall allocation of RM510 billion, compared with RM470 billion previously.
The allocation comprises RM376.8 billion in federal operating expenditure, RM83 billion in federal development expenditure, RM25 billion in GLIC investments, RM11 billion in public-private investments, and RM14.2 billion in investments by federal statutory bodies and Minister of Finance Incorporated (MOF Inc) companies.
- A Statutory Bodies and Controlled Entities (Financial Governance) Bill will be drafted to tighten the governance of entities entrusted with managing public funds and assets, said Prime Minister Datuk Seri Anwar Ibrahim when tabling Budget 2027 in the Dewan Rakyat today.
The bill will cover government-linked companies and statutory bodies to prevent a repeat of abuses such as the 1Malaysia Development Berhad scandal and the crises at Lembaga Tabung Haji and the Federal Land Development Authority.
Anwar said efforts to limit the prime minister's tenure were brought to Parliament this year but failed to secure two-thirds support, while the proposal to separate the roles of the Attorney-General and Public Prosecutor has been studied in depth.
- The government will intensify efforts to eradicate systemic and deep-rooted corruption, Prime Minister Datuk Seri Anwar Ibrahim said.
Citing the Royal Commission of Inquiry (RCI) into Tabung Haji, the crisis involving the Federal Land Development Authority (Felda) and the 1Malaysia Development Bhd (1MDB) scandal, Anwar said abuses of power cost the public not only money, but also their rights and the country's dignity.
- The government, through Lembaga Tabung Haji, will fully bear Social Security Organisation (Perkeso) contributions for all 40,000 imams, bilal, tok siak, noja, marbut and takmir teachers, said Prime Minister Datuk Seri Anwar Ibrahim when tabling Budget 2027 in the Dewan Rakyat today.
- A special incentive of RM150 a month will be given to 500 Quran and Fardu Ain Class (Kafa) teachers who teach pupils with special needs, including through sign language and the Braille Quran, said Prime Minister Datuk Seri Anwar Ibrahim when tabling Budget 2027 in the Dewan Rakyat today.
- The government has extended the Visit Malaysia Year campaign to next year, with RM935 million allocated for tourism and culture, said Prime Minister Datuk Seri Anwar Ibrahim when tabling Budget 2027 in the Dewan Rakyat today.
The allocation includes incentive grants for industry players to promote and organise tourism events.
To boost tourism on the duty-free islands of Langkawi and Labuan, the duty-free purchase limit for visitors and tourists will be raised to RM10,000, subject to a minimum stay of 48 hours.
- The government has agreed to increase the annual grant for each active, registered Rukun Tetangga neighbourhood committee nationwide from RM6,000 to RM10,000.
- The government will introduce the Budi Belia programme, under which young people who complete a specified number of volunteer hours with selected non-governmental organisations will receive an e-wallet incentive of RM100.
- More than RM130 million will be allocated to support the local film, music and creative content sectors, said Prime Minister Datuk Seri Anwar Ibrahim when tabling Budget 2027 in the Dewan Rakyat today.
From 2027, tickets for local films and theatre performances in the Federal Territories will be fully exempted from entertainment duty, and state governments are urged to take similar steps to support local creators.
The allocation includes incentives for local and international film and animation productions shooting in Malaysia, with additional incentives for works that showcase Malaysian culture and nationhood.
The local animation ecosystem will also be strengthened to produce 20 new intellectual properties and commercialise Malaysian characters on the global stage.
- The government will also allocate RM30 million for a Sports Matching Grant to encourage sports associations, clubs and non-governmental organisations to organise high-performance sporting events.
The allocation for school sports activities will be increased by 50 per cent to RM27 million, benefiting more than 4.6 million students across 10,000 schools nationwide.
- The government will also allocate RM30 million for a Sports Matching Grant to encourage sports associations, clubs and non-governmental organisations to organise high-performance sporting events.
The allocation for school sports activities will be increased by 50 per cent to RM27 million, benefiting more than 4.6 million students across 10,000 schools nationwide.
- The government will channel RM15 million collected through levies on the palm oil industry towards environmental conservation, with priority given to protecting the habitats of endangered wildlife.
Prime Minister Datuk Seri Anwar Ibrahim said the funds would be used to protect species including the Malayan tiger, Bornean elephant and orangutan.
- RM240 million will be allocated for preparations to host the 2027 SEA Games and Asean Para Games.
A further RM460 million will be allocated for national sports development. This includes strengthening high-performance sports and the Road to Gold programme, supporting Para athletes and deaf sports, and maintaining sports facilities nationwide.
- The government will introduce a buyback initiative for old fishing nets to prevent abandoned nets from endangering marine life, Prime Minister Datuk Seri Anwar Ibrahim said.
He said the announcement came as Malaysia welcomed the return of leatherback turtles to nest along Terengganu's coastline, the first recorded sighting since 2017.
Anwar also announced the immediate upgrading of ageing public sewage systems on Pulau Tuba in Langkawi, Redang Island and Tioman Island to protect the country's marine environment.
- The government has allocated RM65 million to support about 2,500 community rangers, including Orang Asli, military veterans and retired police personnel, in protecting the country's biodiversity.
Prime Minister Datuk Seri Anwar Ibrahim said the allocation would also cover the construction and maintenance of ranger posts for patrols.
- The government will increase the Ecological Fiscal Transfer (EFT) allocation to RM270 million under 2027 Budget to support states in conserving the country's natural heritage.
- The allocation for the Malaysian Indian Transformation Unit (Mitra) will be increased to RM150 million, with priority given to providing training and jobs for Indian youths in fields such as industrial automation, technology and aircraft maintenance, said Prime Minister Datuk Seri Anwar Ibrahim when tabling Budget 2027 in the Dewan Rakyat today.
- Following the strong response to free AI subscriptions for young people, the initiative will be expanded with an additional 100,000 free AI subscriptions and extended to include new AI applications such as ChatGPT.
- The government is targeting 30,000 new job opportunities for youths under the Bakat Madani initiative in 2027, including through the participation of private companies.
The initiative, launched through the commitment of six government-linked investment companies (GLICs), Petronas and government-linked companies (GLCs), had initially aimed to provide training and quality employment opportunities to 25,000 youths.
Companies participating in the Bakat Madani training programme will be eligible for tax deductions from June 29, 2026, to Dec 31, 2030, under 2027 Budget.
- The Skills Development Fund Corporation (PTPK) will provide RM500 million to finance trainees undergoing skills training programmes at public and private skills training institutes registered with the corporation, said Prime Minister Datuk Seri Anwar Ibrahim when tabling Budget 2027 in the Dewan Rakyat today.
- The government will enhance the tax incentives for the Global Services Hub scheme from Jan 1, 2027.
- The Johor-Singapore Special Economic Zone (JS-SEZ) recorded RM132 billion in investments from 2025 to June 2026, with its master plan and blueprint to be launched by Prime Minister Datuk Seri Anwar Ibrahim and Singapore Prime Minister Lawrence Wong at the end of this year, Anwar said when tabling Budget 2027 in the Dewan Rakyat today.
Nexus Sedenak will become a new industrial hub in the northern part of the zone, with potential investments of RM12 billion and 45,000 jobs.
The road from the Sedenak interchange will be upgraded, followed by facilities connecting it to major ports and regional trade networks.
- GLICs will mobilise RM25 billion in domestic investments through the GEAR-uP initiative.
Khazanah's Jelawang Capital and KWAP's Dana Perintis will invest RM450 million in start-up development.
In addition, a total of RM2.1 billion from the NIMP Fund, KWAP's Dana Pemacu and Khazanah's MTC Fund will be channelled towards strengthening mid-tier companies in sectors such as electrical and electronics, digital technology, aerospace and medical devices.
- 65 National Information Dissemination Centre (Nadi) platforms will be strengthened with an allocation of RM142 million to help more young entrepreneurs tap into online business, said Prime Minister Datuk Seri Anwar Ibrahim when tabling Budget 2027 in the Dewan Rakyat today.
- The government has doubled the financial assistance for repairing disaster-damaged homes to RM10,000 from RM5,000 under 2027 Budget.
Prime Minister Datuk Seri Anwar Ibrahim said the National Disaster Management Agency (Nadma) would receive RM260 million.He also announced the acquisition of 17 amphibious craft boats to speed up rescue operations by the Malaysian Civil Defence Force.
Meanwhile, the Disaster Response Network (GDRN) will continue assisting disaster victims through a RM20 million matching grant.
- The E-Commerce Bill will be tabled at the next sitting to strengthen the accountability of online platforms and sellers.
- Total loan facilities and financing guarantees will be increased from RM50 billion to RM57 billion in 2027, said Prime Minister Datuk Seri Anwar Ibrahim when tabling Budget 2027 in the Dewan Rakyat today.
Syarikat Jaminan Pembiayaan Perniagaan and Credit Guarantee Corporation Malaysia Berhad will provide financing guarantees of up to RM32 billion next year.
Syarikat Jaminan Pembiayaan Perniagaan's coverage will be expanded to include mid-sized companies in all sectors, with the guarantee limit raised to up to RM50 million.A total of RM1 billion of its guarantees will be dedicated to supporting the expansion of local companies through mergers and acquisitions.
- The government has completed six flood mitigation projects worth RM336 million, while 82 other projects are being implemented on schedule.
New flood mitigation projects planned for 2027 included the Kuching Flood Mitigation Plan, Phase Two of the Sungai Golok Integrated Flood Mitigation Project in Kelantan, and the Sungai Kemaman Integrated Flood Mitigation Project in Terengganu.
Nearly RM320 million are also allocated to repair and upgrade slopes, drains and monsoon drains in local authority areas nationwide.
- Bank Negara Malaysia has agreed to allocate an additional RM5 billion to the financing facility.
- Financing under Tekun Nasional will be increased to RM1.3 billion, with a focus on supporting the development of Bumiputera entrepreneurs.For the Indian community, financing under Tekun and Amanah Ikhtiar Malaysia will also be increased to RM150 million to help Indian small business owners expand their businesses.
- The National Scam Response Centre will develop an artificial intelligence (AI) application to help the public identify suspicious phone numbers, bank accounts and links before making transactions.
Prime Minister Datuk Seri Anwar Ibrahim said the Malaysian Communications and Multimedia Commission (MCMC) had blocked more than 5.7 billion scam calls and SMS messages.
- Microfinancing will be increased to RM6.6 billion in 2027, to help small business owners increase income through entrepreneurship.
- The police's Sexual, Women and Child Investigation Division is strengthening its Malaysia Internet Crime Against Children system with advanced analytics to detect child sexual exploitation offenders and networks earlier, said Prime Minister Datuk Seri Anwar Ibrahim when tabling Budget 2027 in the Dewan Rakyat today.
The Malaysian Communications and Multimedia Commission will also step up its Safe Internet Campaign in all schools, focusing on cyberbullying and child exploitation.
- The government has agreed to reduce MSME income tax rates by one percentage point.
- The government has allocated RM490 million to the Malaysian Border Control and Protection Agency under 2027 Budget.
Prime Minister Datuk Seri Anwar Ibrahim also announced tighter airport security screening, including mandatory drug and alcohol tests for pilots and flight crew.
Additionally, 48 new body and baggage scanners will be installed at Kuala Lumpur International Airport, Penang International Airport and Kota Kinabalu International Airport.
- Malaysia's economy is projected to grow by 4.8 to 5.3 per cent in 2026, before expanding by 4.2 to 5.2 per cent in 2027.
- The Home Ministry and Defence Ministry will each receive RM22 billion under 2027 Budget.
RM7.1 billion is set aside to purchase and maintain assets for the armed forces, police and uniformed agencies under the Home Ministry.
The government will build several new security facilities, including a Malaysian Maritime Enforcement Agency (MMEA) state headquarters in Tanjung Kupang, Johor, and a General Operations Force (GOF) Battalion 19 complex in Cheras.
Other projects included a new Immigration Department office in Keningau, Sabah, and three police stations in Sungai Rambai, Melaka; Tanjung Malim, Perak; and Batu Lintang, Sri Aman, Sarawak.The projects were announced under the 2027 Budget.
- The Home Ministry and Defence Ministry will each receive RM22 billion under 2027 Budget.RM7.1 billion is set aside to purchase and maintain assets for the armed forces, police and uniformed agencies under the Home Ministry.
- The government has agreed to raise the Rubber Production Incentive rate for the third time, from RM3 to RM3.30 per kilogramme, benefiting more than 300,000 smallholders, said Prime Minister Datuk Seri Anwar Ibrahim when tabling Budget 2027 in the Dewan Rakyat today.
- The government has agreed to increase the number of special boat licence holders from 17,000 to 20,000 fishermen, with an allocation of RM30 million, said Prime Minister Datuk Seri Anwar Ibrahim when tabling Budget 2027 in the Dewan Rakyat today.
Grants will also be provided for aquaculture projects to raise fishermen's incomes, including the supply of biofloc systems for tilapia farming, while Agrobank will provide RM40 million in financing for aquaculture projects.
Eligible fishermen will continue to enjoy subsidised diesel at RM1.65 a litre.A total of RM178 million will also be provided, among others for catch incentives and a cost-of-living allowance of up to RM300 a month.
- Consumers buying energy-efficient air conditioners and refrigerators will be eligible for rebates of up to RM200 under the Nur Madani initiative.
- The government will provide RM2.62 billion in assistance for padi farmers, translating to about RM4,300 per hectare of padi field, covering seed, fertiliser and pesticide subsidies, ploughing costs and padi prices, among others, said Prime Minister Datuk Seri Anwar Ibrahim when tabling Budget 2027 in the Dewan Rakyat today.
The padi harvesting incentive will be raised from RM50 to RM100 per hectare per season.The ploughing incentive, which was earlier raised to RM300, will be maintained and extended to padi farmers in Sabah and Sarawak.
An allocation of RM20 million will also be provided to supply foliar fertiliser for more than 10,000 hectares of padi fields to restore and revitalise the soil.
- Retirement Fund (Incorporated) (KWAP) will channel RM1 billion through its Climate Fund to support green projects, including renewable energy and decarbonisation initiatives.
- UEM Lestra will invest RM1 billion, including in an energy storage project at KLIA and a one-gigawatt hybrid energy project in Johor.
- Tenaga Nasional Bhd (TNB) will invest RM15 billion to strengthen the national electricity grid and ensure the country can meet growing electricity demand.
- A total of RM2.5 billion will be allocated to maintain Federal roads, including nearly RM800 million specifically for G1 to G4 contractors.
State roads will also be repaired using RM5.7 billion in funds under the Malaysian Road Records Information System.
- The Higher Education Ministry will receive RM19.1 billion, including RM800 million to improve infrastructure such as lecture halls and student accommodation and to replace outdated equipment, said Prime Minister Datuk Seri Anwar Ibrahim when tabling Budget 2027 in the Dewan Rakyat today.
All disciplinary proceedings at public universities involving freedom of speech, expression of views, public criticism and peaceful assembly have been halted with immediate effect.
The ministry has prepared a comprehensive higher education legal framework to replace the Universities and University Colleges Act 1971, covering university autonomy, academic freedom and students' rights.Public contributions to public universities, including from alumni and the corporate sector, will be eligible for income tax deductions of up to 10 per cent of aggregate income.
- The government will expand the recruitment of teacher assistants to 200 high-density primary schools to reduce teachers' administrative workload and allow them to focus on teaching.
Prime Minister Datuk Seri Anwar Ibrahim said the initiative would be expanded in phases after assessing its effectiveness.
He said teachers should return to their core responsibility of educating pupils without being burdened by clerical work.
- Prasarana will invest more than RM3.4 billion in a comprehensive overhaul of its rail services, while the government will acquire 42 new train sets for the ETS and KTM Komuter services to address recurring train breakdowns and service disruptions.
The government will amend the Road Transport Act to require drivers under the influence of alcohol or drugs to pay compensation to victims.
Telematics systems will also be made mandatory for commercial vehicles to monitor speed, location and risky driving behaviour, including integration with alcohol detection devices before drivers begin their journeys.
- All public hospital and clinic infrastructure will be maintained and repaired with an allocation of RM1.2 billion, including upgrading the remaining dilapidated clinics, said Prime Minister Datuk Seri Anwar Ibrahim when tabling Budget 2027 in the Dewan Rakyat today.
More than RM770 million will be set aside to buy advanced and modern equipment to speed up diagnosis and treatment.
This includes upgrading hemodialysis facilities at hospitals nationwide and buying 400 new ambulances for Health Ministry hospitals to improve emergency response times.
Universiti Sains Malaysia Specialist Hospital will be equipped with robotic surgery technology to extend treatment to patients on the east coast and in the northern peninsula.
- Eighteen Health Ministry training institutes will also receive clinical simulation equipment and basic science laboratories to improve the skills of more than 20,000 trainees, medical staff and paramedics.
- Form Six students will receive a RM2,500 cost-of-living allowance, matching the rate given to matriculation students, under 2027 Budget.
Prime Minister Datuk Seri Anwar Ibrahim said the initiative would benefit 90,000 Form Six students.
He also announced an allocation of RM870 million for the Supplementary Food Programme, which is expected to benefit more than 800,000 pupils.
- A new MyKomuter50 pass will be introduced for 40,000 KTM Komuter users, with average savings of up to RM160 a month.
Free passes will also be provided to 360,000 school students, persons with disabilities and children below six years old.
- The government has increased the Early Schooling Aid to RM200 per pupil from RM150 under the 2027 Budget, with 5.3 million pupils expected to benefit.
Prime Minister Datuk Seri Anwar Ibrahim said the initiative would involve an allocation of RM1 billion to help families prepare for the 2027 school session.
He said a family with four children would receive RM800 under the scheme.Schools will distribute the assistance as parents meet teachers directly.
- The government has increased the Early Schooling Aid to RM200 per pupil from RM150 under the 2027 Budget, with 5.3 million pupils expected to benefit.
Prime Minister Datuk Seri Anwar Ibrahim said the initiative would involve an allocation of RM1 billion to help families prepare for the 2027 school session.
He said a family with four children would receive RM800 under the scheme.Schools will distribute the assistance as parents meet teachers directly.
- The government is working with GLICs to expedite project implementation to address student accommodation issues.
Phase One of the Universiti Malaya Student Residences is scheduled for completion in 2031, benefiting 10,000 UM students.
The Retirement Fund (Incorporated) (KWAP) will invest RM750 million in the Vista Kampus project to build student accommodation at six selected universities, including Universiti Sultan Zainal Abidin and Universiti Teknologi Mara.
- Private hospital bills will use uniform and transparent charge categories from 2027 so that patients understand every charge and price distortions are reduced, said Prime Minister Datuk Seri Anwar Ibrahim when tabling Budget 2027 in the Dewan Rakyat today.
Licensing for private healthcare facilities will also move fully online through a new Health Ministry portal from the same year, with processing time targeted to be cut by up to 65 per cent.
To help low-income Malaysians get medical treatment, the Medical Assistance Fund will be increased from RM40 million to RM60 million.
Free thalassaemia screening will also be expanded to the husbands and children of carriers to reduce the risk of babies being born with thalassaemia major.
- The government has doubled the allocation for school repairs and maintenance to RM2 billion under 2027 Budget, including RM200 million for registered people's religious schools, tahfiz institutions and pondok schools.
Prime Minister Datuk Seri Anwar Ibrahim said national schools would receive RM900 million, while Chinese vernacular schools would receive RM100 million and Tamil vernacular schools RM50 million.
Nearly RM1.3 billion has been allocated to upgrade 682 dilapidated schools, particularly in Sabah and Sarawak.
3,500 additional classrooms will be completed by the end of this year to accommodate about 500,000 pupils who are expected to enter Year One next year, including more than 70,000 aged six.Prime Minister Datuk Seri Anwar Ibrahim said the additional classrooms would be built using the Industrialised Building System (IBS) method.
The government will build new schools, preschool buildings and additional facilities at existing schools under the 2027 Budget, including projects in Perak, Selangor, Johor and Sabah.Prime Minister Datuk Seri Anwar Ibrahim said the projects included SK Seri Chemor in Ipoh, Perak, the Bandar Serenia School Complex in Sepang, Selangor, and the full replacement of SJK (Tamil) Ladang Pamol in Kluang, Johor.
Other projects are SJKC Bandar Mahkota Cheras and a preschool building at SK Bulu Silou in Keningau, Sabah.Anwar also said a new matriculation college was being built in Marang, Terengganu.
- A total of RM1.2 billion will be allocated to maintain and upgrade public hospital and clinic infrastructure, including the remaining dilapidated clinics.
- The Education Ministry will receive the largest allocation of nearly RM69 billion under 2027 Budget, up from RM66.2 billion this year.
Prime Minister Datuk Seri Anwar Ibrahim said the government had agreed to double the allocation for the repair and maintenance of all types of schools to RM2 billion, up from RM1 billion previously.
- The government will raise its overall allocation for assistance to persons with disabilities to RM1.5 billion, benefiting more than 300,000 people, Prime Minister Datuk Seri Anwar Ibrahim announced when tabling Budget 2027 in the Dewan Rakyat today.
The care assistance rate for bedridden persons with disabilities and chronic patients will go up from RM500 to RM600 a month, while the income threshold for the Disabled Workers' Allowance will rise from RM1,700 to RM2,000.
The Special Educational Needs Pupils Allowance will increase from RM150 to RM200 a month for 150,000 pupils, and the Special Educational Needs Teaching Incentive will rise from RM250 to RM300 a month for 20,000 special education teachers.
Two Permata Kurnia centres for autistic children will be built in Melaka and Pahang, more than 130 new Tabika Tunas Istimewa classes will open in rural areas, and 15 Community-Based Rehabilitation premises will be upgraded to specialised therapy centres for 20,000 registered persons with Down syndrome.
- Employees Provident Fund (EPF) members below 55 years old will be allowed to pay MediAsas premiums through their Akaun Sejahtera.
For small and medium enterprises (SMEs) with fewer than 75 employees, the government will subsidise first-year premiums by RM200 per employee, capped at 50 employees per company. The initiative is expected to benefit up to 200,000 workers.
- The Health Ministry's allocation will increase to RM47.7 billion from RM46.5 billion.
The government will also resolve the issue of contract doctors. Since 2023, the Madani government has appointed more than 15,000 contract doctors to permanent positions, including 4,000 this year.
More than 9,000 contract doctors will be offered permanent positions, meaning doctors who successfully complete their housemanship will subsequently be offered permanent medical officer posts.
The Malaysian Communications and Multimedia Commission will continue accelerating the implementation of electronic medical record systems at healthcare facilities nationwide, backed by an investment of RM1 billion.
The government will launch the affordable MediAsas health insurance plan in January 2027.
- The government will provide 50 acres of strategic land worth RM1 billion in the Kuala Lumpur area as a new endowment to Yayasan Pelaburan Bumiputra.
Prime Minister Datuk Seri Anwar Ibrahim said Permodalan Nasional Bhd (PNB) plans to develop the land, taking into account affordable housing needs and Bumiputera interests.
He said the government's first endowment to YPB was made in 1978, amounting to RM200 million, with no subsequent endowments provided since 1981.
- The service tax rate for elderly care services will be reduced from eight per cent to six per cent, with a full exemption granted for care fees of up to RM96,000 a year, effective Jan 1, 2027.
- The Madani government has agreed to provide matching grants of up to RM5,000 to small and medium enterprises seeking halal certification for the first time said Prime Minister Datuk Seri Anwar Ibrahim.
The government will also provide grants of RM25,000 to strengthen halal small and medium enterprises in sectors such as cosmetics and pharmaceuticals.
- Providers of Shariah-compliant fund management services will receive a 40 per cent income tax exemption for the assessment years 2028 to 2030.
To encourage sustainable Islamic financing, issuers of Sukuk Prihatin (Sukuk Prisma) will be eligible for tax deductions on issuance costs approved by the Securities Commission for the assessment years 2027 to 2030.
Grants received under the Sustainable and Responsible Investment (SRI) Sukuk and Bond Grant Scheme will also be exempt from income tax from Jan 1, 2027.
- Petronas has begun developing the first 10 acres of land in Kuala Lumpur to provide affordable housing, Prime Minister Datuk Seri Anwar Ibrahim said.
The development is part of a 50-acre site gazetted as Malay Reserve Land, a move Anwar said had not been undertaken by previous administrations.
- Government-linked investment companies (GLICs) will invest RM2 billion to empower Bumiputera companies, with Ekuiti Nasional Bhd and Pelaburan Hartanah Bhd helping them pursue public listings and strengthen ownership of strategic properties.
Khazanah Nasional Bhd and Teraju will also establish the RM250 million Dana Ciptawan to support the growth of mid-sized Bumiputera companies.
- The government has invested RM5 billion in the National Digital Network Plan (Jendela) to strengthen internet connectivity nationwide under the 2027 Budget.
WiFi coverage was achieved at all public university campuses, while 4G connectivity is available at all Felda settlements.
Next year, the government will focus on extending 4G coverage to all Orang Asli villages, providing internet access along 7,000km of roads and 1,700km of railway lines, and implementing the Madani Undersea Cable (Salam) project.
- The Syarikat Jaminan Kredit Perumahan (SJKP) will provide up to RM20 billion in housing financing guarantees to assist 80,000 first-time homebuyers, particularly self-employed individuals without fixed incomes.
The government plans to grant full stamp duty exemptions on loan agreements and property transfer instruments for first homes priced up to RM500,000.
For homes priced up to RM750,000, full exemptions will apply to the first RM500,000, with a 50 per cent exemption on the remaining amount. These exemptions will apply to sale and purchase agreements executed from Jan 1, 2027, to Dec 31, 2030.
- Bandar Madani Bukit Jalil will be developed as a fully equipped residential township with facilities including vertical schools. Phase one registration will open this Monday.
Nearly RM1 billion has been allocated for housing projects such as the Rumah Mesra Rakyat and Program Residensi Rakyat schemes. Four new housing projects will be implemented in Kulai, Johor; Nilai, Negri Sembilan; Paya Rumput, Melaka; and Lembah Pertang, Terengganu.
- The Madani government will upgrade key tourism products in Terengganu, including Setiu Wetlands, Tasik Kenyir, Pulau Tenggol and Pulau Bidong, as the state continues to be driven as an ecotourism focus.
The government will build a regional sewage treatment plant and a sewerage pipe network in Kuala Terengganu city to prioritise the people's wellbeing, said Prime Minister Datuk Seri Anwar Ibrahim.
- The Perak and Penang governments have agreed on a 40-year bulk water supply deal under the Madani administration.
Prime Minister Datuk Seri Anwar Ibrahim said the government would also allocate RM2.5 billion for the National Non-Revenue Water (NRW) programme to improve clean water access nationwide.
The initiative will focus on replacing 1,900km of critical ageing pipes.
- The Madani government will continue to prioritise the Five Rice Planting Seasons in Two Years Project in the Muda Agricultural Development Authority area to raise yields and padi farmers' income.
Kulim Hi-Tech Park is attracting global semiconductor investment, creating skilled jobs and business opportunities for Kedah locals, said Prime Minister Datuk Seri Anwar Ibrahim.
- Permodalan Nasional Bhd has preserved Stadium Merdeka and Stadium Negara, with entertainment duty waived for arts, cultural, entertainment and sporting activities held at both venues to revitalise the nation's heritage.
- Tenaga Nasional Bhd (TNB) will install solar-powered streetlights in villages and rooftop solar panels at welfare homes and places of worship under 2027 Budget.
Electricity supply will be improved at tahfiz schools, pondok religious institutions and Orang Asli settlements.
- The Madani government is developing 22 infrastructure projects in the Chuping Valley Development Area and the Northern Corridor Economic Region Agribio Economic Zone in Perlis to open up more job and business opportunities.
The Perlis Inland Port will be equipped with scanning machines to smooth trade and strengthen border security, said Prime Minister Datuk Seri Anwar Ibrahim.
- A 100-acre leasehold site in Bukit Kiara will be gazetted as a Federal Park for public use.
DBKL will also build a 22km covered pedestrian walkway linking landmarks such as the National Mosque, Dataran Merdeka and Central Market.
- The government has increased the allocation for rural road projects to RM2.3 billion under 2027 Budget, up from RM1.3 billion in 2022.
A total of RM3.3 billion had been allocated for rural basic infrastructure projects.
The allocation will cover the installation of village streetlights, community facilities, and the provision of clean water and electricity.
- Khazanah Nasional Bhd's Warisan KL initiative has attracted half a million local and foreign visitors following the restoration of the Sultan Abdul Samad Building and surrounding heritage sites.
The next focus will be on preserving Menara Dayabumi, Kuala Lumpur Railway Station and the KTMB headquarters.
- The Madani government will support development along the East Coast Rail Link alignment, including heavy industry in Bentong and people's housing near the KotaSAS station, to catalyse economic growth in strategic areas of Pahang, said Prime Minister Datuk Seri Anwar Ibrahim.
- The government has agreed to double the number of Public Service Department scholarships offered to students from Sabah and Sarawak, enabling 4,200 students from both states to pursue higher education each year.
- The government will intensify the development of Lumut Maritime Industrial City (LuMIC) in Perak to attract investments and create jobs, under 2027 Budget.
Prime Minister Datuk Seri Anwar Ibrahim said the Automotive Hi-Tech Valley in Tanjong Malim will be developed as a regional automotive hub.
To encourage fully locally-owned automotive vendors to relocate their operations there, the government will offer tax deductions of up to RM5 million on eligible relocation costs incurred between Jan 1, 2027 and Dec 31, 2030.
- Federal allocations for Sabah and Sarawak in 2027 will remain at their highest levels, with Sabah receiving RM18.7 billion, up from RM17.6 billion this year, while Sarawak will receive RM16.2 billion, compared with RM15.1 billion this year.
- The Madani government has increased the special grant rate three times, with the latest interim allocation amounting to RM1.5 billion.
The payment will be settled before the end of the year, while negotiations with Sabah and Sarawak continue to finalise a fair and sustainable annual formula.
- Penang has been designated as the country's financial technology hub. Khazanah Nasional Bhd and InvestPenang will establish a RM100 million Strategic Investment Fund to support early-stage semiconductor and advanced manufacturing companies.
Traffic congestion in Johor Bahru must be addressed urgently, with the government agreeing to implement the elevated Autonomous Rapid Transit (e-ART) system as the main solution.
- The government has allocated RM100 million for the construction of retention ponds and river maintenance to reduce flash flood risks in the Klang Valley.
Prime Minister Datuk Seri Anwar Ibrahim said the Federal Government and Selangor government had agreed on five key measures to address flash floods in the region.
These include assessing the capacity of Batu Dam and Klang Gates Dam over the next 30 years.
- Bank Simpanan Nasional and Agrobank will provide RM270 million to finance gig workers seeking to start businesses and purchase their first homes.
- Companies other than micro, small and medium enterprises (MSMEs) can only claim tax deductions on salary expenses if they pay through bank accounts via channels permitted under the Employment Act 1955.
Prime Minister Datuk Seri Anwar Ibrahim said the measure aims to close loopholes that allowed employers to hire undocumented foreign workers.
He said the requirement would apply specifically to salary expenses, while tax deductions for other expenses would remain unaffected.
-The Gig Consultative Council is currently negotiating the minimum income rate, income formula and minimum social protection standards for gig workers, with the framework expected to be finalised in early 2027.
In the interim, the government and Grab have agreed to jointly fund a RM160 million package from 2027 to increase the net income and improve the welfare of e-hailing and p-hailing workers.
The package will cover higher minimum income rates for e-hailing and p-hailing workers, assistance with vehicle maintenance and insurance costs, as well as contributions to Socso.
The net monthly income of median-level e-hailing drivers is expected to increase by up to RM227, while p-hailing delivery riders could see an increase of up to RM100.
- The government will introduce a minimum salary of RM2,500 a month for semi-skilled workers and graduates as part of reforms to the country's wage framework.
Prime Minister Datuk Seri Anwar Ibrahim said the move aims to address the mismatch between workers' wages and their qualifications, particularly among skilled employees.
He said the initiative would complement the minimum wage increase, which raises the monthly rate from RM1,700 to RM2,000 from June 2027.
- The government will raise the minimum wage from RM1,700 to RM2,000 a month from June next year under 2027 Budget.
Prime Minister Datuk Seri Anwar Ibrahim said micro, small and medium enterprises (MSMEs) with annual sales below RM50 million would be exempted to allow them time to adjust their business models.
The new minimum wage rate is expected to cover more than four million workers.
- Individual tax reliefs will be expanded to cover postnatal care services, all caregiving expenses for parents and grandparents, and the purchase of sports shoes.
- Education-related reliefs will include all fields of study and children's tuition fees, while lifestyle reliefs will be extended to AI subscriptions, pet vaccination costs and the adoption of pets from registered centres.
- Personal income tax rates for resident individuals have been reduced by one percentage point. The tax rate for chargeable income between RM70,000 and RM100,000 has been reduced to 18 per cent.
Meanwhile, the tax rate for chargeable income between RM100,000 and RM150,000 has been reduced to 24 per cent.
- The government has increased the allocation for Jualan Rahmah Madani and Jualan Agro Madani to RM750 million in 2027 Budget, up from RM630 million previously.
Prime Minister Datuk Seri Anwar Ibrahim said the government is targeting 35,000 programmes under the two initiatives next year.
Of these, 30,000 Jualan Rahmah programmes will cover all state constituencies, with a focus on rural areas, low-cost housing areas and urban People's Housing Projects.
- Individual tax relief limit, which has not been revised since 2010, has been increased from RM9,000 to RM12,000.
- Malaysians aged 18 and above who are not STR recipients will receive Sara Madani of RM100 on two occasions, namely before Aidilfitri and ahead of the seventieth Merdeka anniversary.
This will benefit up to 13 million Malaysians, including those in the M40 income group.
- Nearly RM3.3 billion will also be allocated for assistance through the Social Welfare Department.
- Prime Minister Datuk Seri Anwar Ibrahim said fuel subsidies are expected to remain high at RM40 billion.
- The government will allocate more than RM80 billion for subsidies, aid and incentives next year under 2027 Budget.
- STR recipients will receive SARA of up to RM150 per month or RM1,800 per year, benefitting up to nine million STR recipients.
- RM16 billion will be allocated for STR and SARA in 2027, from RM15 billion in 2026.
- Indirect taxes contribute 21.1 per cent, while non-tax revenue accounts for 18.2 per cent.
- Income tax is the largest revenue source, accounting for 40.1 per cent of the government's projected RM459.84 billion revenue and borrowing-related funds.
- The government has allocated RM459.84 billion for 2027 Budget, with spending covering public-sector salaries, subsidies, debt servicing and economic development.
- Prime Minister Datuk Seri Anwar Ibrahim has arrived at Parliament to table 2027 Budget.- NST

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