Govt Assures Rakyat Of Protection From Impact Of West Asia Conflict - PM Anwar
KUALA LUMPUR, Nov 12 (Bernama) -- Prime Minister Datuk Seri Anwar Ibrahim today gave an assurance that the government would continue to protect the people, ensure supplies of essential goods, and support business continuity as well as employment should the conflict in West Asia escalate further.
Anwar, who is also Finance Minister, said that through Budget 2027, the government would continue to shield the people from the impact of the conflict in the region.
During the Prime Minister’s Question Time (PMQT) session, Anwar said that under next year’s budget, financial assistance and purchasing power would be enhanced, among them, by increasing individual tax relief to RM12,000.
In addition, tax rates would be reduced by one percentage point for income between RM70,000 and RM150,000, which is expected to provide additional disposable income of up to RM1,600 to five million taxpayers, he said.
“The allocation for Sumbangan Tunai Rahmah (STR) and Sumbangan Asas Rahmah (SARA) has been increased to the highest level in history, from RM15 billion to RM16 billion.
“The SARA assistance rate has been increased to as much as RM150 per month, while recipients under the eKasih programme will receive up to RM250 per month,” Anwar said.
He was responding to a question from Howard Lee Chuan How (PH-Ipoh Timur) on the government's measures to reduce national debt to more sustainable levels, as well as the extent to which the current fiscal position provides the government with room to implement intervention measures to protect the economy and the well-being of the people should the conflict in West Asia escalate further.
Up to 13 million Malaysians aged 18 and above who are not STR recipients, including those in the middle-income (M40) group, will receive RM100 in SARA MADANI assistance twice in 2027.
Anwar said that through the BUDI MADANI programme, Malaysians would continue to enjoy subsidised RON95 petrol of up to 300 litres at RM1.99 per litre, compared with its actual price of RM3.87 per litre. They would also receive subsidised diesel of up to 400 litres at RM2.10 per litre, compared with the actual price of RM4.87 per litre.
The government would also increase the Early Schooling Aid from RM150 to RM200 for all 5.3 million students, he said.
According to the Prime Minister, the minimum wage would also be increased from RM1,700 to RM2,000 per month beginning June 2027, benefitting more than four million workers. Meanwhile, the Progressive Wage Policy for employees of government-linked investment companies (GLICs) and government-linked companies (GLCs) would be raised from RM3,100 to RM3,400, benefitting 230,000 workers.
“Budget 2027 also supports the continued viability of micro, small and medium enterprises (MSMEs), including by increasing loan facilities and financing guarantees from RM50 billion to RM57 billion.
“The Small and Medium Enterprise (SME) Stabilisation Relief Facility provided by Bank Negara Malaysia will be expanded by RM5 billion, bringing its total allocation to RM10 billion,” Anwar said.
Meanwhile, Syarikat Jaminan Pembiayaan Perniagaan Bhd (SJPP) and Credit Guarantee Corporation Malaysia Bhd (CGC) will also provide financing guarantees of up to RM32 billion.
“The coverage of SJPP will be expanded to include mid-sized companies across all sectors, while RM2 billion under CGC will be earmarked specifically for the semiconductor sector,” the Prime Minister said.
Additionally, Anwar said the tax rate for MSMEs would be reduced by one percentage point on taxable income of up to RM600,000, while the relaxation in the implementation of Phase 4 of e-Invoicing is granted until the end of 2027.
-- BERNAMA