KUALA LUMPUR: Budget 2026, which emphasises governance reforms and the retargeting of subsidies, demonstrates the government’s administrative efficiency in achieving savings that are channelled directly back to the people, said Communications Minister Datuk Fahmi Fadzil.
He said the continuation of aid programmes such as the Sumbangan Asas Rahmah (SARA), Sumbangan Tunai Rahmah (STR) and Back-to-School Assistance reflects the MADANI government’s commitment to safeguarding the people’s welfare, even during a period of fiscal consolidation.
“With good governance and administration, we can reduce leakages and wastage. Through the retargeting of subsidies, these savings can be returned to the people,” he told reporters at the Parliament lobby after Prime Minister Datuk Seri Anwar Ibrahim tabled Budget 2026 today.
He said the authorities’ firm action against smuggling activities has also had a significant impact on national revenue, with savings amounting to RM15.5 billion since last year.
“One of the biggest reforms is the introduction of free education for eligible students under the National Higher Education Fund Corporation (PTPTN). We must also refer to the full text of the budget as there are several items included in it that were not mentioned in the Prime Minister’s speech,” he said.
For the communications sector, he said RM2 billion has been allocated through the Malaysian Communications and Multimedia Commission (MCMC) to implement the MADANI Submarine Cable Connectivity (SALAM) project, which will replace the 1Malaysia People’s Cable System (SKR1M) built in 2012–2013.
“The aim is to ensure continued connectivity (between Peninsular Malaysia, Sabah and Sarawak). In addition, the Prime Minister also announced the development of a sovereign cloud by MCMC, as well as new allocations for creative content production through MyCreative Ventures and the National Film Development Corporation Malaysia (FINAS),” he said.
Fahmi also described Budget 2026 as evidence of the government’s successful reforms in balancing fiscal prudence with social priorities.
“That is the main message from Budget 2026,” he said.
Budget 2026, themed ‘Belanjawan MADANI Keempat: Belanjawan Rakyat’ (Fourth MADANI Budget: A Budget for the People), aims to mobilise and optimise national resources, including funds from government-linked investment companies (GLICs), federal statutory bodies and Minister of Finance Incorporated (MKD) companies, through total public expenditure amounting to RM470 billion, compared to RM452 billion in the last budget.
When tabling the budget, the Prime Minister said it comprises RM338.2 billion in federal operating expenditure and RM81 billion in federal development expenditure, as well as RM30 billion in GLIC investments, RM10 billion in public-private investments, and RM10.8 billion in investments by federal statutory bodies and MKD companies – Bernama
