BUDGET 2026 is expected to strike a balance between fiscal consolidation and continued support for social development, with a particular focus on protecting the welfare of children and reducing the national deficit, according to key ministers ahead of the budget tabling on 10 October.
Women, Family and Community Development Minister Datuk Seri Nancy Shukri said greater allocations are hoped for to support children with special needs and those from vulnerable groups, adding that Members of Parliament should raise the issue during budget deliberations.
“We truly hope that a larger allocation will be provided for children, especially those with special needs, such as autism,” she said after a parliamentary briefing on the Convention on the Rights of the Child (CRC) on Wednesday.
Nancy also stressed the need to improve infrastructure for undocumented children to continue their education, and to tackle mental and physical health issues affecting young people.
In her earlier remarks, Nancy called on parliamentarians across the political spectrum to place children’s rights at the centre of policymaking and budget planning.
“I call upon all Members of Parliament, whether from the government or the opposition, to unite in making children’s rights a true national priority. Issues such as child protection, education, nutrition, the environment and social protection do not belong to one party or another — they belong to the children of Malaysia, and therefore, to all of us,” she said.
Malaysia is scheduled to appear before the United Nations Committee on the Rights of the Child in January 2026 to review its compliance with the CRC. Nancy acknowledged the significance of the upcoming session.
“It may sound simple, but it makes us very nervous because it’s not easy to face. It's like an examination… but in a viva, you might have some idea of the questions. Here, we don’t know what we’ll be asked. So, we really need your support,” she told attendees.
Dewan Rakyat Speaker Tan Sri Johari Abdul and Dewan Negara President Datuk Awang Bemee Awang Ali Basah were also present. In his speech, Johari reaffirmed Parliament’s role in safeguarding children and empowering youth.
“This year marks three decades since Malaysia ratified the CRC. But the CRC is not merely a document signed in 1995 — it is a living commitment,” he said, highlighting initiatives such as ‘Parlimen Belia’, ‘Sekolah Parlimen’ and PLKN 3.0 as platforms for youth participation in governance.
Meanwhile, Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani indicated that Budget 2026 will prioritise efforts to reduce Malaysia’s fiscal deficit, amid a challenging global economic climate and external trade pressures.
“This government is working hard to reduce the deficit. As a country directly involved in open trade, these developments will inevitably affect us,” he said. “In the government's budget-making process, I believe it will focus on the same things — how we can balance the deficit as a country.”
The government’s focus on fiscal prudence comes as Malaysia’s cumulative deficit narrowed by 10.6 per cent year-on-year to RM49.4 billion as of August 2025, according to a recent CIMB Investment Bank Bhd report. The August monthly deficit stood at RM2.7 billion — the lowest in nearly a year.
The government is expected to meet its full-year fiscal target of RM80 billion, or 3.8 per cent of GDP. For Budget 2026, CIMB anticipates a further tightening, with a projected deficit of 3.6 per cent of GDP, while still incorporating measures to support inclusive economic growth. - October 9, 2025
