PETALING JAYA: Budget recalibration measures will not affect the essential services, security, healthcare and education sectors, the Finance Ministry has assured.
It said in a statement that the exercise targets only non-critical expenditure, while core spending will continue as approved under Budget 2026.
“This includes key allocations to ministries such as Health and Education, which received the largest shares in this year’s budget,” it said yesterday.
The ministry stressed that frontliners, including essential healthcare services, will not be impacted.
Meanwhile, Transport Minister Anthony Loke said his ministry will implement energy-saving measures in line with broader federal directives on fiscal discipline.
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These include adjustments to operational practices and expenditure controls aimed at reducing utility and fuel usage.
“Efforts are being made to control utility and transportation costs carefully. For any programmes that take place, spending must be prudent, with no large-scale or excessive expenditure,” he told reporters on the sidelines of an event.
He added that cost-saving steps include carpooling, flying economy class for official travel and reducing overseas trips.
Housing and Local Government Minister Nga Kor Ming also said his ministry will comply with the spending cuts, while ensuring development projects remain on track.
“We support the move to reprioritise RM10bil in government expenditure and are prepared to implement savings without compromising development spending, so that the people’s well-being and national development agenda remain on course,” he said in a statement.
Nga noted that the recalibration is necessary to strengthen fiscal resilience, with subsidy spending this year expected to exceed RM58bil, compared with the RM15bil initially projected before the global energy crisis.
Among the measures to be taken are postponing non-essential official events, meetings, conferences, seminars and workshops, while scaling down necessary programmes.
Overseas travel by the minister and officials will also be limited to essential engagements.
Nga reiterated that frontline and basic public services will not be affected.
On Wednesday, the Treasury issued guidelines to ministries and agencies to reprioritise operating expenditure in response to the ongoing global energy supply challenges and rising subsidy burden.
