World Bank positive on Malaysia's fiscal consolidation strategy


REUTERS/Elizabeth Frantz/File photo

KUALA LUMPUR: The World Bank acknowledged the government’s efforts to safeguard Malaysia’s long-term fiscal sustainability but maintained a cautious stance on the lower development expenditure (DE) outlined in Budget 2026.

World Bank lead economist for Malaysia Dr Apurva Sanghi emphasised the benefits of budget consolidation -- reducing government deficit and debt -- while highlighting the importance of a balanced approach.

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