Economic Report 2014-15: Fiscal consolidation in 2015

MALAYSIA remains committed to consolidating its fiscal position with the target of reducing the fiscal deficit to 3% of gross domestic product (GDP) in 2015 and achieving a balanced budget by 2020.

As part of the fiscal consolidation next year, the report says operating expenditure will be reduced by 1.3% as a share of GDP largely due to more cautious spending on supplies and services as well as subsidy cuts.