Malaysia

Zahid defends RM6.1b rural road spending, says RM2.1b gap does not indicate leakage

The Deputy Prime Minister says the Rural Road Programme’s original allocation of RM3.982 billion was revised to RM6.143 billion for 2023–2025

Updated 11 hours ago · Published on 26 Oct 2026 6:06PM

Zahid defends RM6.1b rural road spending, says RM2.1b gap does not indicate leakage
Ahmad Zahid Hamidi says the actual expenditure of RM6.108 billion leaves RM34.3 million unspent - October 26, 2026

DEPUTY Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi has defended RM6.108 billion in spending under the Rural Road Programme (JALB) from 2023 to 2025, saying the RM2.1 billion difference between actual expenditure and the original allocation was not evidence of missing funds or misappropriation.

He said the apparent gap arose from comparing actual expenditure of RM6.108 billion with the initial allocation of RM3.982 billion without accounting for subsequent additional allocations and revisions.

The original allocation was revised to RM6.143 billion, putting actual spending RM34.3 million below the approved revised amount, he said when winding up the debate on the Supply Bill 2027 at the policy stage in the Dewan Rakyat today.

“The RM2.1 billion difference compared with the original allocation is not, in itself, evidence of missing funds, leakage or misappropriation,” he said.

Zahid said the programme’s financial position should be assessed using all three figures — the original allocation, revised allocation and actual expenditure — rather than the initial allocation alone.

He stressed that additional allocations did not give the ministry unrestricted spending powers, as every adjustment remained subject to government approval and financial procedures.

“An instruction from a minister alone does not allow money to be spent immediately. Government approvals and financial procedures must still be complied with,” he said.

The process involved the ministry’s controlling officer, the Economy Ministry, the Finance Ministry and the Accountant General’s Department of Malaysia, according to their respective responsibilities.

Approvals and adjustments were recorded in government systems, including MyProjek and iGFMAS, while payments were based on claims and verification of completed work by implementing agencies such as the Public Works Department and the Department of Irrigation and Drainage.

As at Sept 30, 2026, JALB covered 415 projects at various stages, with a total cost of about RM34.23 billion.

Expenditure for 2026 stood at approximately RM2.48 billion, or 82.1 per cent of the revised allocation of RM3.02 billion, as at Sept 30.

For 2027, the ministry has been allocated RM2.266 billion, with priority given to projects under construction, existing commitments and outstanding payments.

“Our priority is to complete ongoing projects, settle legitimate payments and ensure new commitments are aligned with the government’s financial capacity,” Zahid said. - October 26, 2026

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