Kuala Lumpur, Aug 19 (IANS) Malaysia’s Budget 2027 will focus on easing cost-of-living pressures, strengthening social protection, improving public services and attracting high-value investment as the government seeks to build a more resilient and inclusive economy, the Ministry of Finance has announced.
The budget would be guided by ten focus areas, with key priorities including narrowing regional development gaps and strengthening support for vulnerable groups, micro, small, and medium enterprises (MSMEs), women and youth.
The government will also review social protection coverage for informal and gig workers as Malaysia prepares for an ageing population, while expanding healthcare, education and digital skills, reports Xinhua news agency.
On the economic front, Budget 2027 will prioritise investments that generate local supply chains, technology transfers, research and development and high-value jobs, particularly in semiconductors, artificial intelligence, digital services, energy transition, pharmaceuticals, logistics and aerospace.
The government will also promote home-grown businesses through financing, technology and export support, while improving public spending efficiency, procurement, governance and digital delivery.
Energy, food and cybersecurity will feature prominently, with measures to accelerate renewable energy, grid upgrades, energy efficiency, agricultural productivity and climate resilience.
The government will table Budget 2027 in parliament on October 9, 2026, after consultations with stakeholders and the public.
Meanwhile, in a separate development, official data has shown that Malaysia’s manufacturing capacity utilisation rose 1.2 percentage points year on year to 83.7 per cent in the second quarter of 2026, compared with 82.5 per cent a year earlier.
All manufacturing sub-sectors recorded utilisation rates above 80 per cent, led by transport equipment and other manufactures at 87.2 per cent, up 1.2 percentage points from a year earlier, the Department of Statistics Malaysia said in a statement.
Electrical and electronics products followed at 85.3 per cent, an increase of 2.6 percentage points.
On a quarterly basis, overall manufacturing capacity utilisation increased 0.9 percentage point from 82.8 per cent in the first quarter.
Export-oriented industries recorded a 1.3 percentage point year-on-year increase to 82.9 per cent, while domestic-oriented industries rose 0.8 percentage point to 85.2 per cent.
Low demand, insufficient material supplies, and machinery and equipment repairs and maintenance remained the main factors behind capacity underutilisation, it said.
–IANS
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