KUALA LUMPUR: The government has allocated 20 billion ringgit in basic development expenditure for 2026 to six less developed states.
Minister of Economy Datuk Seri Amir Hamzah Azizan said this represents a five percent increase compared to the 19 billion ringgit allocated for 2025.
He stated that the allocation focuses on developing basic infrastructure like connecting roads, clean water supply, electricity, and wider internet access.
Amir Hamzah, who is also Finance Minister II, confirmed 90% of the states’ priority project lists were approved through special development meetings.
He explained these meetings ensure each state benefits from development spillovers and supports the MADANI Economy agenda.
The minister noted that both the allocation and number of new project approvals have increased annually.
He revealed the basic development expenditure was 45.77 billion ringgit in 2024 and rose to 55.7 billion ringgit for 2025.
The allocation for 2026 further increased to 57.6 billion ringgit, marking a 3.4 percent rise.
Amir Hamzah added that 2,371 new projects were approved for 2026 compared to 1,967 projects in 2025.
He provided these details while winding up the Supply Bill 2026 debate for his ministry in the Dewan Rakyat.
The minister said basic development funds aim to implement infrastructure projects like roads, schools, and healthcare facilities.
He emphasised that these projects directly benefit the people and help drive national economic growth.
Amir Hamzah stated the higher allocation proves the government is not sacrificing projects for fiscal savings.
The Ministry of Economy will ensure development projects are implemented based on people’s priorities and needs.
This approach aims to achieve more inclusive, balanced, and sustainable development across all states. – Bernama