PETALING JAYA: The Budget 2026 allocation for the healthcare sector reflects a sincere effort to upgrade long-overdue hospital facilities and equipment, particularly in rural areas, said Alliance for a Safe Community chairman Tan Sri Lee Lam Thye.
The social advocate has welcomed the government’s continued commitment to improving Malaysia’s public healthcare system under Budget 2026, saying the RM46.5bil allocation for the Health Ministry is a step in the right direction towards strengthening the country’s healthcare infrastructure.
“The budget allocation for 2026 increased about 2.8%, or RM1.3bil. Although the amount allocated is still falling short of meeting the public health needs of the people, the increase is a positive move,” he said.
Pointing out that many public hospitals still rely on outdated medical machines in need of replacement, Lee welcomed the government’s commitment to upgrading ageing hospital infrastructure and equipment — particularly in rural and remote areas that have long required refurbishment and better resources.
He described the efforts to modernise facilities and expand hospital capacity as a step in the right direction toward delivering better healthcare for all Malaysians, especially those outside urban centres.
“Those hospitals in rural areas really need to be upgraded. The upgrading of facilities in hospitals is something I can welcome.
“It’s a good move, taking into account that many of these facilities and equipment, like MRI and CT scan machines, have been there for a long, long time.
“The upgrading shows the government is taking note of shortcomings and public complaints. At least the right step has been taken,” he said.
Lee also urged the government’s continued collaboration with non-governmental organisations (NGOs) in the area of mental health awareness and community outreach.
He said the Finance Ministry and Health Ministry have previously channelled allocations to credible NGOs running mental health programmes, describing it as a “good move” that helps raise awareness and combat stigma.
“MoF and MoH have given allocations to NGOs organising programmes to create awareness, to fight the stigma issue, to address issues of depression in the community. There are many NGOs in the country which are involved in mental health.
“They are doing programmes for good mental health development, but these NGOs need financial assistance from the government. The Treasury and the Ministry of Finance can continue to support by making funds available to the Ministry of Health and for it to be channelled to deserving NGOs.”
He shared that his organisation, the Alliance for a Safe Community, had also benefited from such funding, allowing it to carry out mental health awareness programmes at the community level.
While welcoming these developments, Lee also advised that the healthcare budget must remain balanced, addressing physical infrastructure, manpower, mental health, and public access to services.
He noted the importance of sustaining the Madani Medical Scheme, which enables B40 patients to receive treatment at private clinics at government expense, and expressed hope that its allocation would be increased again to ensure the programme’s sustainability and future scope.
“The scheme has been a meaningful initiative, easing congestion in public hospitals while ensuring that low-income groups have better access to healthcare.
“It’s important that the programme continues to receive adequate support so it can remain sustainable and benefit more Malaysians in the long run.”
Lee also called for greater funding for the National Centre of Excellence for Mental Health (NCEMH), saying its role in promoting mental health awareness is too important to be constrained by limited resources.
“NCEMH needs more to design and provide for greater awareness. They certainly deserve a bigger allocation,” he said.
Lee concluded that while Budget 2026 marks “a positive step” in improving healthcare infrastructure, it must also ensure adequate support for mental health services and community programmes.
“Investing in healthcare is not an expense but an investment in national productivity, security and social stability. A healthy population is the foundation of a resilient nation,” he said.

