KUALA LUMPUR – Government frontbenchers have lauded the unity government’s maiden budget, calling it a step in the right direction towards spurring economic growth, and expanding social security while attempting a balanced spreadsheet.
Commenting on the mammoth budget of RM386.14 billion announced by Prime Minister Datuk Seri Anwar Ibrahim, his deputy Datuk Seri Ahmad Zahid Hamidi said the budget is a step in the right direction towards reaching a “balanced budget”.
“In totality, I find that this budget is a step in the right direction towards a balanced budget (in the future).
“Before this, the government’s fiscal deficit compared with the gross domestic product (GDP) was at 5.6% and has been reduced to 5%.
“The budget also shows the government’s attentiveness for all targeted groups to receive some sort of aid, even after an election,’’ he said during a press conference at Parliament following the tabling of the revised supply bill earlier today.
Zahid said the budget had touched on aiding the B40, reduced income tax for the M40, and strengthening the food supply chain to alleviate the rising cost of living.
Similarly, Deputy Prime Minister Datuk Seri Fadillah Yusof concurred that the federal budget was attentive to the needs of the people amid challenging global economic conditions.
He also lauded the government’s move to increase development expenditure for Sabah and Sarawak, and said he now looks towards ensuring that all allocations are spent effectively to uplift the people in the region while ensuring key development projects are fulfilled.
“A big (development) budget will not succeed if the implementation is poor – that is why we need to ensure good cooperation between the state and federal governments, as well as the implementing agencies, to ensure all projects and programmes that aim to uplift the people are done correctly.”
In another joint press conference at the Parliament media centre, the ministers for education, transport, domestic trade and cost of living, and human resources were happy with their allotted funds, following an increase for all the ministries compared to the 2022 budget.
Expressing gratitude, Education Minister Fadhlina Sidek announced that her ministry was one of the biggest receivers of funds, with a whopping RM55.2 billion being allocated.
She added that the biggest focus for her ministry will be to improve the standard of education, while ensuring the welfare of teachers and students.
“Highlights of the budget include an allocation of RM2.3 billion to build infrastructure, such as the best learning facilities,” the Nibong Tebal MP said.
“This includes RM920 million (being allocated) to upgrade buildings in 380 schools in poor areas nationwide, especially in Sabah and Sarawak, through a special procurement method in line with the ministry’s core.
Fadhlina said another RM900 million will be allocated for maintenance works at all schools, regardless of their teaching language.
Similarly, Transport Minister Anthony Loke thanked Anwar for granting his ministry a 9% allocation increase in this year’s budget.
He added that his ministry will moot incentives to subsidise driving tests for B2-class motorcycle licences, as well as licences for transportation services – such as buses, taxis, and e-hailing services – to help youth work in the current economy.
Domestic Trade and Cost of Living Minister Datuk Seri Salahuddin Ayub expressed his gratitude to the prime minister for providing recognition to Payung Rahmah, which he said also recognises the small businesses and food-and-beverage industry players behind the initiative.
As RM100 million from the ministry’s allocation of RM1.25 billion will go towards Rahmah sales, Salahuddin said the rakyat will now enjoy a 30% price reduction on basic necessities.
For the Human Resources Ministry, minister V. Sivakumar promised that the RM1.4 billion allocation for its programmes will reduce unemployment among women, youth, and the vulnerable.
He said he was also committed to taking care of Malaysian Indians with RM100 million allocated for the Malaysian Indian Community Transformation Unit, or Mitra, for socio-economic development, and another RM50 million for the maintenance of non-Muslim houses of worship.
This year’s budget plan is the unity government’s inaugural fund allocation under Anwar’s leadership, with a total of RM386.14 billion in allocations being revised.
Grants announced during the supply bill’s tabling include financial aid of up to RM2,500 for B40 families and a two-percentage-point tax rebate for the M40.
Other announcements include the introduction of luxury taxes – instead of reimplementing wide, consumer-based taxes such as the goods and services tax – and restructuring of Bumiputera investment organisations, incentives for employers, and development funds for Sabah and Sarawak. – The Vibes, February 24, 2023
Additional reporting by Danial Dzulkifly
