Economy Ministry Projects 2027 Development Expenditure At RM58 Bln – Akmal Nasrullah
PUTRAJAYA, July 27 (Bernama) -- The Economy Ministry has projected 2027’s development expenditure at about RM58 billion, with 70 per cent of the total allocation earmarked for basic development. The proposal is yet to be submitted to the Finance Ministry (MOF).
Economy Minister Akmal Nasrullah Mohd Nasir said the projection was based on the ministry's preliminary findings.
"The ministry's top leadership will finalise the 2027 development plan before submitting it to the MOF," he said at a press conference on the Statistics Bill 2026 and the Economy Ministry's monthly assembly here today.
Akmal Nasrullah said the allocation is aimed at ensuring the continuity of development projects, maintaining economic growth momentum and accelerating the country's physical development.
The government is maintaining its internal formula of allocating 70 per cent of total development expenditure to basic development, while ensuring the continued delivery of public services and ongoing development works.
According to MOF's website, the allocation for basic development expenditure projects in 2026 was RM57.6 billion, or 71 per cent of total development expenditure, versus RM55.67 billion, or 65 per cent, in 2025.
Akmal Nasrullah said MOF will conduct the overall assessment for Budget 2027.
On the possibility of using a global oil price benchmark in Budget 2027, he said the matter falls under the MOF's jurisdiction.
"Oil prices are among the factors that need to be taken into consideration, but that assessment is carried out at MOF.
"At our level, the focus is on development expenditure, while the assessment to balance fiscal needs, including next year's oil price projections, will be determined by the MOF," he said.
He also said that although the economy is estimated to have grown 5.8 per cent in the second quarter of 2026, bringing first-half growth to 5.6 per cent, the government must remain vigilant as there is an ongoing global crisis.
He said the growth exceeded Bank Negara Malaysia's 2026 forecast of 4 per cent to 5 per cent. However, the strong growth base recorded in the first half of the year will make it more challenging to sustain similar performance in the third and fourth quarters, while factors such as El Niño could also affect economic activity.
Budget 2027 is scheduled to be tabled in the Dewan Rakyat on Oct 9, 2026, by Prime Minister Datuk Seri Anwar Ibrahim, who is also the Finance Minister.
-- BERNAMA