Fiscal consolidation and spending plans

Despite higher expected revenue in 2025, the consolidated public sector is estimated to post a lower current surplus of RM29.1bil.

While remaining committed to fiscal consolidation through reform measures delineated under the Public Finance and Fiscal Responsibility Act 2023, the government continues to work on a social safety net to safeguard the needs of citizens, in particular the vulnerable groups, including from economic shocks.

These measures include reforms to ensure a more impactful approach to disbursing aid.