KUALA LUMPUR: The government has made significant progress in tackling hardcore poverty, with the incidence falling from 0.2% in 2022 to 0.09% in 2024, but challenges remain for low-income households lacking the skills needed to keep pace with the labour market, says Deputy Economy Minister Datuk Hanifah Hajar Taib.
Speaking in the Dewan Rakyat on Monday (Nov 24), Hanifah said the government’s strategy emphasises the development of skills and human capital through education, as well as technical and vocational training, to complement socio-economic aid programmes for vulnerable groups.
Hanifah was responding to Muhammad Fawwaz Mohamad Jan (PN–Permatang Pauh), who asked the Economy Minister to provide updates on the government’s progress in eradicating hardcore poverty and explain the obstacles preventing the plan from achieving its full potential.
She noted that while financial aid initiatives such as Sumbangan Tunai Rahmah (STR), Sumbangan Asas Rahmah (Sara) and the Payung Rahmah programme, along with welfare support from the Social Welfare Department, had benefited hundreds of thousands of households, poverty remained dynamic, with some falling back into hardship due to factors such as job loss or natural disasters.
She added that RM15bil had been allocated in 2026 for the STR and Sara programmes, the highest in history, while the Payung Rahmah initiative received RM600mil.
In addition, various welfare programmes under the Social Welfare Department benefited over 560,000 households, including hardcore poor families, persons with disabilities, and senior citizens, with total allocations of RM3.1bil.
Meanwhile, the Sejahtera Madani programme, which incorporates private sector contributions to tackle hardcore poverty, has raised RM120mil to date.
Labour market reforms under the 13th Malaysia Plan (13MP) include two increases in the minimum wage, from RM1,200 to RM1,500 and subsequently to around RM1,700, alongside the introduction of a progressive wage policy in 2024.
“The law and financial aid alone are not enough. We must also equip households with the skills and opportunities to maintain their livelihoods, ensuring that those who escape poverty do not fall back into it,” she said.
