KUALA LUMPUR – As per Budget 2021, next year’s national budget will be primarily focused on the country’s recovery from the Covid-19 pandemic and its ensuing economic crisis.
The Finance Ministry (MoF) said Budget 2022 will be drafted with the expectation that the economic situation will have recovered from the effects of the pandemic next year.
As such, the ministry has identified three main themes upon which the budget will be formulated, namely, protecting and driving recovery of lives and livelihoods, rebuilding economic resilience, and catalysing socio-economic reforms.
“This budget will strive to ensure no person or business is left behind in receiving the government’s assistance and support, especially those severely affected by the prolonged movement control order (MCO) in 2021,” it said in a pre-Budget 2022 statement today.
On lives and livelihoods, the MoF said next year’s budget will ensure the continuity of the National Recovery Plan (NRP), which was introduced in June this year as an exit strategy from the Covid-19 crisis.
The government will also drive the recovery of economic sectors, especially those badly affected, such as the tourism and retail sectors, while also focusing on vulnerable and disadvantaged segments of society, women, indigenous people and the disabled.
The ministry said the budget will also focus on efforts to boost the resilience of the nation’s public health system to face future crises, having seen it stretched to the limit during the pandemic.
This will be done by enhancing the health system’s capacity and quality, strengthening human capital in public healthcare and fostering closer partnerships between public and private sector health providers, it said.
“Budget 2022 will also focus on enhancing digital and technological infrastructure as a core element for the continuity of our economic and social system in the future,” it said, adding that effort will also be placed on the education sector to enable a system that supports online learning from home.
For the business sector, the MoF said similar digital infrastructure and applications will also play an important role in ensuring the economy remains operational and productive in the event of lockdowns, while emphasis will be given to accelerating the transition towards IR4.0 and digital transformation.
The MoF said funds will also be allocated to ensure economic reform measures are implemented, with focus on the attainment of the sustainable development goals, 12th Malaysia Plan and the Shared Prosperity 2030.
It added that the government will focus on improving the efficiency of the public delivery system as well as strengthening its partnership with civil society organisations in various fields, such as poverty eradication, livelihood and improving the quality of people’s health.
“The government will undertake various engagement and consultation sessions to obtain input and suggestions from various parties to ensure that the drafted budget is comprehensive and inclusive, in line with ‘Keluarga Malaysia’ spirit.
“It is the government’s hope that the publication of this pre-Budget statement will assist in setting the expectation of the public of Budget 2022, which will be tabled at the Dewan Rakyat on October 29, 2021.”
Last year, the government announced its largest federal budget ever for 2021, with a total of RM322.5 billion being allocated respectively for operating expenditure (RM236.5 billion), development expenditure (RM69 billion) and the Covid-19 Fund (RM17 billion), although the amount has been revised since.
Up to last month, the MoF said the government has utilised 59.1% of the allocations, with the Covid-19 Fund being used up the most at 75.2%, despite an increased injection of RM10 billion. – The Vibes, August 31, 2021
.jpeg)
