Malaysia

13th Malaysia Plan - A call for national renewal and economic resilience

Five-year blueprint aims to reposition Malaysia through structural reforms, inclusive growth and long-term fiscal responsibility

Updated 10 months ago · Published on 31 Jul 2025 1:47PM

13th Malaysia Plan - A call for national renewal and economic resilience
On the domestic front, Anwar warns of persistent risks such as rising living costs, food security, and job market pressures, and reaffirmed the Government’s responsibility to act decisively - July 31, 2025

PRIME MINISTER Datuk Seri Anwar Ibrahim on Thursday tabled the 13th Malaysia Plan (2026–2030) in the Dewan Rakyat, describing it as a medium-term national roadmap to elevate Malaysia into a leading, respected regional economy through bold reforms and strategic recalibration.

“This is a medium-term plan that will guide our country towards greater excellence. I urge all Honourable Members and the rakyat to examine this framework carefully, as it is complex and technical, and will take time to fully understand,” Anwar said.

The motion before Parliament calls for legislative approval of RMK13, while reaffirming Malaysia’s commitment to strengthening socio-economic development, navigating global geopolitical and economic uncertainty, and upholding the values of the Malaysia MADANI framework.

“In approving the 13th Malaysia Plan, this House calls upon all Malaysians to unite with determination and commitment, to ensure sustainable national development that benefits the people equitably and fairly,” Anwar said.

He began by highlighting the global context—protracted conflicts, humanitarian crises, and shifting economic power dynamics—underscoring the urgency of reform.

“We must remain vigilant. Escalating tariffs and protectionist policies by the United States, and countermeasures from other nations, have significantly altered the global economic landscape,” he noted.

On the domestic front, he warned of persistent risks such as rising living costs, food security, and job market pressures, and reaffirmed the Government’s responsibility to act decisively.

Malaysia MADANI: Achievements and Structural Reform

Since assuming office in November 2022, the MADANI Government has initiated wide-ranging policy reforms grounded in sustainability, social wellbeing and good governance.

“We launched the MADANI Economy framework to restructure the economy around integrity and inclusiveness,” said Anwar.

Under this framework, the Government rolled out several national strategies including the New Industrial Master Plan (NIMP 2030), National Energy Transition Roadmap (NETR), National Semiconductor Strategy (NSS), and TVET Policy 2030.

Public-private collaboration has deepened, with the GEARuP programme boosting domestic direct investment. The KL20 initiative, aimed at making Kuala Lumpur one of the top 20 global startup ecosystems, has already borne fruit, with the capital rising to 68th in the 2025 Global Startup Ecosystem Report and over 4,400 startups registered.

Foreign interest in Malaysia’s venture capital market is growing, with average fund sizes nearing USD400 million.

Investment zones such as the Johor-Singapore Special Economic Zone (JS-SEZ), Kulim Hi-Tech Park, and upcoming hubs in Perak, Sabah, and Sarawak have attracted domestic and international players in high-tech industries.

In legislative reform, over 80 laws have been introduced or amended, including the ILTIZAM Act (anti-red tape), the Data Sharing Act, and amendments to the Police Act and Children’s Act.

Key enforcement agencies including the MACC, National Audit Department, and Malaysia Competition Commission have also been strengthened to better address corruption and abuse of power.

Towards Fiscal Sustainability and Welfare Protection

Anwar emphasised fiscal prudence through the Public Finance and Fiscal Responsibility Act, aimed at reducing the national deficit.

On cost-of-living pressures, the Government has expanded targeted subsidies for diesel and electricity, increased Rahmah Cash Aid (STR) and Rahmah Basic Aid (SARA), and widened eligibility.

“From an initial 700,000 recipients, the SARA programme now covers 5.4 million Malaysians. Last week, I announced a one-off RM100 SARA payment to all citizens aged 18 and above, involving RM2 billion,” said Anwar. Total STR and SARA allocations for 2025 now amount to RM15 billion.

Minimum wages have risen twice under the MADANI administration, from RM1,200 to RM1,500, and now RM1,700. A living wage benchmark of RM3,100 per month has been set for employees in GLCs and GLICs.

Graduates of TVET programmes now enjoy employment rates exceeding 95.6 percent, with most earning above minimum wage.

Infrastructure and Welfare Projects

Development funds have been allocated for critical upgrades to schools, clinics, roads, and flood mitigation.

As of July 2025, 1,776 dilapidated clinics are being upgraded with RM560.45 million allocated. A total of 1,368 PDRM and 3,088 ATM housing units have been completed, with an additional 8,501 under construction. Another 69,141 existing quarters for the police and armed forces have been refurbished.

Anwar reminded the House that RMK13 represents a shared national responsibility.

“With the right resolve, Malaysia will not only progress materially but will grow into a strong, united and principled society—one that commands global respect and uplifts every segment of our rakyat.” - July 31, 2025

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