BUDGET 2027 should place greater emphasis on raising Malaysians’ wages and incomes so that economic growth translates into better living standards, Economy Minister Akmal Nasrullah Mohd Nasir said.
He said it was time for the issue of workers’ earnings to become a central part of budget discussions, with the government expected to set out a clearer commitment to improving wage levels.
“It is time for discussions on the income or wages of most Malaysians to be placed as a priority.
“Therefore, it is hoped that in this Budget we will have the ability to state our commitment on how we can review or further improve the position of Malaysian wages,” he told reporters after attending the KL20 Penang 2026 event at the Penang Waterfront Convention Centre in George Town today.
Akmal was responding to a question on the Economy Ministry’s priorities for Budget 2027, which is scheduled to be tabled on Oct 9.
He said raising incomes must go hand in hand with companies creating more high-skilled jobs and offering better wages.
The government’s approach, he said, also needed to focus on strengthening the economic structure and expanding high-growth, high-value (HGHV) industries.
“From the perspective of the approach taken by the Economy Ministry, we constantly look at what aspects of the economic structure can be further improved.
“This includes what we are pursuing today in terms of continuing to develop HGHV industries so that Malaysian companies are not merely involved in manufacturing, but have the capability to move into higher-value positions within the supply chain or wider economic ecosystem,” he said.
Akmal said positive developments in several industries and continued economic growth despite global geopolitical uncertainty provided room for the government to give greater attention to Malaysians’ incomes.
He said investments and development funding, including the ATE Campus in Penang, should also strengthen the capabilities of local companies and, in turn, generate better employment opportunities.
“The intention is also for us to further strengthen the capabilities of our companies, which in turn will create better employment opportunities and more meaningful wages for our citizens,” he said.
His comments come as the government prepares to conduct a comprehensive assessment of the Progressive Wage Policy by the end of this year or early next year to determine its effectiveness in raising workers’ wages. The policy is currently scheduled to run until the end of 2027. - September 24, 2026