Budget 2026 Inclusive, Focuses On Rural Socio-Economic Development - Ahmad Zahid

KUALA LUMPUR, Oct 10 (Bernama) -- Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi has described Budget 2026 as an inclusive budget, which places strong emphasis on rural development, ensuring that the well-being of rural communities continues to be strengthened.

Ahmad Zahid, who is also the Rural and Regional Development Minister, said that his ministry received an increased allocation of RM12.4 billion, up RM440 million or 3.69 per cent, compared with the previous year.

He said that the increase clearly reflects the MADANI Government’s commitment to drive rural socio-economic development more comprehensively, without sidelining communities in rural areas, including the Orang Asli.

“The three main agencies which serve as pillars of rural socio-economic development - FELDA (Federal Land Development Authority), RISDA (Rubber Industry Smallholders Development Authority) and FELCRA (Federal Land Consolidation and Rehabilitation Authority) - have been allocated RM2.4 billion to safeguard the welfare of more than 720,000 settlers, smallholders and their families,” he said.

“The allocation for MARA (Majlis Amanah Rakyat) has also been increased to cover aspects of education and entrepreneurship, while the Orang Asli community has received a higher allocation of RM412 million. This includes the construction and upgrading of nursery facilities and the implementation of the Cap Badui Syikulah programme, which is closely linked to the education of Orang Asli children,” he told reporters,  at a press conference at the Parliament lobby, today.

Themed Belanjawan MADANI Keempat: Belanjawan Rakyat (Fourth MADANI Budget: A Budget for the People), Budget 2026 will mobilise and optimise national resources, including funds from government-linked investment companies (GLICs), federal statutory bodies, and Minister of Finance Inc (MOF Inc) companies, for public expenditure totalling RM470 billion, compared with RM452 billion last year.

Prime Minister Datuk Seri Anwar Ibrahim, when tabling Budget 2026 in the Dewan Rakyat today, said that the allocation comprises RM338.2 billion for federal operating expenditure (OE) and RM81 billion for federal development expenditure (DE), in addition to RM30 billion in GLIC investments, RM10 billion in public-private investments, and RM10.8 billion in investments by federal statutory bodies and MOF Inc companies.

Ahmad Zahid said that overall, Budget 2026 is a people’s budget, centred on the well-being of the people and investment in the nation’s future.

“This is an inclusive budget, which not only protects the people from global challenges, but also lays a foundation that is sustainable, resilient and prosperous for future generations,” he said.

Commenting further, he said the government also recognised the contributions of former Community Development Department (KEMAS) staff, with 4,000 individuals, including former contract teachers, set to receive an increase in their monthly allowance from RM300 to RM500, starting next year.

Ahmad Zahid, who is also the chairman of the National Technical and Vocational Education and Training (TVET) Council, said the sector continues to receive the government’s key focus, with an allocation of RM7.9 billion for next year, compared with RM7.5 billion this year.

“Focus will be given to high-impact TVET fields, such as artificial intelligence (AI), electric vehicles (EVs), robotics and other emerging technologies. In addition, tahfiz and huffaz students will also benefit from a special allocation of RM150 million for their studies within the TVET framework,” he said.

He added that the country’s halal development agenda has also been strengthened, while the National Disaster Management Agency (NADMA) has been allocated RM460 million for long-term flood management initiatives, in addition to RM2.2 billion for flood mitigation projects.

-- BERNAMA