Economy Minister Akmal Nasrullah says Budget 2027 allocates RM83 billion for development while balancing fiscal constraints, public welfare and fair wage growth
KUALA LUMPUR: The government must balance fiscal constraints with the need to sustain national development and rakyat protection, said Economy Minister Akmal Nasrullah Mohd Nasir.
He said Budget 2027 has allocated about RM83 billion in development expenditure to ensure the continuity of national development, and the country’s fiscal capacity depends on its income and revenue generated through economic growth.
“While we continue protecting the rakyat, particularly through subsidies, we must also ensure that development with a greater impact on the future can continue,” he said.
He told reporters this on the sidelines of the Ministerial Forum at the iFUTURE 2026 International Young Future Leaders Summit here today, when asked to comment on Budget 2027, tabled by Prime Minister Datuk Seri Anwar Ibrahim last Friday.
Akmal said strengthening domestic resilience remained essential amid global uncertainty, with the budget seeking to sustain the progress achieved over the past two to three years.
“Development must also benefit ordinary Malaysians, including through wage measures aimed at providing workers with more commensurate remuneration,” he said.
Asked how long micro, small and medium enterprises (MSMEs) would be exempted from implementing the RM2,000 minimum wage, Akmal said: “The implementation at present is for companies generating revenue exceeding RM50 million.”
On wage progression, he said raising the minimum wage could result in wage compression if salaries at higher pay grades did not rise proportionately.
“Implementation should therefore consider not only workers at the lowest salary level but also the skills and qualifications of those higher up the pay scale, including degree holders.
“The relevant ministry needs to draw up the best mechanism so that implementation does not merely raise wages at the lowest level, but also ensures balanced wage increases for those with qualifications,” he said.