US-Iran Conflict Prompts Review Of 13MP, Budget 2026 - Ahmad Zahid

KUALA LUMPUR, April 22 (Bernama) -- The 13th Malaysia Plan (13MP) and Budget 2026 should be reviewed following the impact of the conflict between the United States and Iran, said Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi.

He said the country’s economic planning must take into account new realities arising from global uncertainties, which are affecting supply chains, commodity prices and overall economic costs.

“In this regard, the 13MP needs to be revisited. The Budget tabled last October should also be reassessed, and planning for Budget 2027 must take into account these new factors,” he said during the BN Forum Series 10, which discussed the impact of the US-Iran conflict on Malaysia, here today.

Ahmad Zahid said the conflict has affected key strategic routes such as the Strait of Hormuz, which handles about 20 per cent of global oil supply, thereby putting pressure on global oil prices and operating costs.

“In this context, Malaysia is also affected by issues related to subsidies and pricing, which are key considerations, as well as rising transportation costs, oil prices, higher insurance costs and distribution expenses that are adding pressure,” he said.

Ahmad Zahid said that the National Economic Action Council (MTEN) is holding weekly meetings to discuss short- and medium-term measures.

Meanwhile, he cited Sarawak as an example of a state that has earlier adopted solar energy and possesses hydroelectric resources.

“This energy is not only sufficient for its own use, but can also be exported to Peninsular Malaysia and neighbouring countries,” said Ahmad Zahid, adding that the situation offers useful insights for Malaysia’s planning.

— BERNAMA