FINANCE Minister II Datuk Seri Amir Hamzah said in the Dewan Rakyat, today, "this is the stage that directly examines the detailed allocations under the Ministry of Finance as policy issues have already been discussed at the policy stage."
Addressing key issues raised during the Committee Stage of the Budget 2026 Bill, Amir adreesed the concerns raised by some 20 MPs which highlighted measures to support SMEs impacted by the global trade war primarily.
He said the government was "mindful of the welfare and business continuity of SMEs" and detailed plans under Budget 2026, including raising government loans and guarantees to RM50 billion, up from RM40 billion, and offering SJPP guarantees of up to RM30 billion, with 70% financing for export-oriented mid-sized firms and a maximum guarantee of RM5 billion.
He also mentioned a RM50 million Market Development Grant to facilitate SME exports and a RM500 million Exporter Incentive Scheme via EXIM Bank to help local exporters expand overseas.
On diesel subsidy targeting, Amir explained that since 10 June 2024, fishermen continue to receive diesel at RM1.65 per litre under a quota system designed to prevent leakage.
"Deep-sea fishermen in Zone C2 are not eligible for subsidised diesel," he stated, explaining it as a measure to curb diesel misappropriation.
He also noted the introduction of the MyIstihar application to monitor catch declarations, alongside reinforced enforcement with agencies including the Royal Malaysia Police, Customs, and the Malaysian Maritime Enforcement Agency.
LKIM has taken action against 119 vessels, suspending diesel subsidies and blacklisting offenders, he noted.
Amir also discussed targeted assistance for farmers and smallholders through the Budi Agrikomoditi cash aid programme, with 180,000 recipients benefiting from RM350 million as of September 2025.
The Ministry of Agriculture and Food Security has increased ploughing and harvesting incentives, with nearly 130,000 paddy farmers receiving RM210 per hectare per season.
Healthcare reform and MHIT (Medical and Health Insurance Transformation) were also addressed.
The Minister stated that the government aims to introduce a standalone, value-based basic health protection product by 2027, providing transparent, affordable coverage and reducing reliance on interim measures.
"The long-term reform is essential to tackle the root causes of medical inflation, including private hospital cost structures, inconsistent clinical practices, and transparency in medical charges," he said.
On the subject of subsidy and cash aid reductions, Amir explained that the savings from targeted LPG, diesel, and petrol subsidies would fund larger cash transfers, including the RM15 billion Sumbangan Tunai Rahmah and Sumbangan Asas Rahmah programmes, alongside the RM100 SARA universal benefit for all Malaysians aged 18 and above.
The Minister also responded to suggestions for improving the SARA programme, noting that as of November 2025, more than 8,700 vendors—including 2,500 small retail shops—participate in the scheme.
He highlighted ongoing efforts to include cooperatives, expand product listings of local SMEs, and widen spending categories to cover school supplies and household essentials.
Regarding statutory funds, Amir detailed increases for the Malaysia SEA Games Organising Committee 2027, examination boards, and Bumiputera automotive initiatives, while clarifying the reallocation of Sabah and Sarawak low-income housing grants.
The takeover of Sepang International Circuit was also discussed, with the Minister noting the economic impact of MotoGP Malaysia 2024, estimated at RM694 million, generating a 6.3-fold return on government investment and over 4,000 jobs.
On public-private partnerships and investment-linked policies, Datuk Seri Amir Hamzah emphasised fiscal responsibility and structural reform, noting that ILP policyholders must now receive annual disclosures from financial institutions, while the basic MHIT product will remain independent of investment performance.
Amir then underlined that the RM470 billion projected public spending includes not only government operating and development expenditure but also strategic public investments through GLICs, BBPs, and government-linked companies, ensuring maximum economic impact and public benefit.
Expressing appreciation, he said: "I record my gratitude to all Members of Parliament who participated in the committee stage debates for the Ministry of Finance." - November 6, 2025
