00:01Prime Minister Anwar Ibrahim is expected to boost spending on cost-of-living measures
00:06in what could be his government's final budget before a general election, according to Bloomberg.
00:12Anwar, who is also finance minister, is expected to prioritize cash handouts for middle-income groups
00:18and provide more support for the semiconductor and renewable energy sectors.
00:23Economists expect the government to boost existing revenue streams rather than introduce new taxes.
00:30Anwar is reportedly considering calling a general election in the second half of next year, ahead of the February 2028
00:37deadline.
00:38Kenanga Investment Bank economists said this raised the stakes for the 2027 budget, particularly efforts to ease cost-of-living
00:46pressures.
00:47According to a Bloomberg survey of economists,
00:50The government will likely project a narrower fiscal deficit of 3.4% of gross domestic product in 2027.
00:59UOB Kehien economists expect a mildly expansionary but fiscally measured budget
01:05with more cash handouts and tax relief for middle-income groups.
01:10They also expect further support for the technology sector through tax incentives, grants and financing,
01:16as well as green incentives to support Malaysia's net-zero target.
01:21The Malaysian Institute of Economic Researcher's Azizul Amiluddin cautioned that there was limited room for additional spending
01:28and that cost-of-living pressures required longer-term measures rather than one-off support.
01:34Panyu Jojo, FMT.
