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PHA seeks enhanced B40 welfare support in Budget 2026 reform

PETALING JAYA: The Penang Hindu Association (PHA) has called on Prime Minister Datuk Seri Anwar Ibrahim to consider four additional proposals to make the Budget 2026 more beneficial for low-income communities, despite welcoming the government’s people-centric approach.

In a press statement, today, PHA president Datuk P.Murugiah acknowledged the RM470 billion budget announced on October 10 as being aligned with the Malaysia Madani Framework, particularly praising its focus on elderly care schemes, cash aid programs, and social security coverage for gig workers.

The budget projects a cautious GDP growth of 4% to 4.5% in 2026, with a fiscal deficit reduced to 3.5% from 3.8% in 2025, reflecting careful economic management amid global uncertainties.

Four Key Proposals for B40 Communities

As an NGO working primarily with B40 communities, PHA has put forward four specific recommendations:

1. Social Security for Unorganized Sector Workers

PHA is appealing for a dedicated social security scheme for workers in the informal economy, including street vendors, vegetable farmers, and odd-job workers. These workers, often employed in unregistered businesses and small family enterprises, face low wages, unstable employment, and lack retirement benefits. The proposed scheme would enable them to save for retirement and receive fixed monthly pensions.

2. Subsidised Solar Panel Installation

The association recommends government subsidies for rooftop solar panel installation for B40 households. PHA reports that many low-income families struggle to pay utility bills despite existing TNB subsidies, with some facing electricity disconnection due to unpaid bills. Solar panels would provide carbon-free electricity and eliminate monthly electricity costs, significantly easing financial burdens.

3. Affordable Senior Citizen Homes

With Malaysia’s aging population, PHA is calling for construction of more affordable senior citizen homes to accommodate elderly individuals without family support. These facilities would provide not only housing but also foster engaging communities to enhance quality of life for senior citizens.

4. Free School Bus Transportation

The association proposes free school bus transportation for B40 students to address the substantial financial burden on low-income families. PHA highlighted that school transport fares have increased by up to 150% per student, placing significant strain on household budgets.

While expressing confidence that the Budget 2026 can deliver sustainable economic growth, Murugaiah emphasised that incorporating these proposals would make the budget “more Rakyat-friendly” and better serve the needs of vulnerable communities.

The PHA’s recommendations reflect growing concerns about social inequality and the need for targeted interventions to support Malaysia’s most economically vulnerable citizens as the nation navigates uncertain global economic conditions.

Parliament is expected to debate and finalise the Budget 2026 in the coming weeks, during which these proposals may be considered alongside other amendments and suggestions from various stakeholders.

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