Increase In STR, SARA Allocations Proves Govt's Commitment To Strengthen Social Safety Net -- MoF
KUALA LUMPUR, Oct 14 (Bernama) -- The increase in the Sumbangan Tunai Rahmah (STR) and Sumbangan Asas Rahmah (SARA) allocations from year to year is proof of the government’s commitment to strengthen the social safety net, according to the Ministry of Finance (MoF).
Deputy Finance Minister Lim Hui Ying said the aid, whose allocation has been increased to RM15 billion in 2026 from RM10 billion in 2024, is among the key tools to eradicate hardcore poverty and ensure those in the low-to-middle income group can weather the cost of living challenges.
“The programme is in line with the government’s aim to provide targeted assistance,” she told the Dewan Rakyat today.
She said this in response to a question from Datuk Siti Zailah Mohd Yusoff (PN–Rantau Panjang), who wanted to know the government’s stance on the effectiveness of the implementation of SARA in assisting the B40 group, as well as claims regarding delayed payments received by some recipients in rural areas.
On Oct 10, Prime Minister Datuk Seri Anwar Ibrahim announced that allocations for STR and SARA will increase to RM15 billion under Budget 2026, compared to RM13 billion in 2025, which is expected to benefit nine million recipients.
According to Lim, as of now, more than 5.4 million monthly SARA recipients under the STR scheme have been recorded, with an annual allocation of RM5 billion.
“As of Oct 13, 2025, over 5.34 million of all SARA recipients have used their MyKad to purchase essential goods at registered premises, reflecting an overall usage rate of 98 per cent, with total spending amounting to RM3.3 billion.
“Based on the implementation performance of the monthly SARA programme in 2025, the highest usage rates were recorded in Perlis, Sabah, Sarawak, Kelantan, Terengganu, and Kedah, with 99 per cent of MyKad usage claims in purchases at registered retail stores. This refutes the claims of delays in SARA usage in some rural areas,” she said.
To ensure more recipients have easy access to this assistance, the number of SARA Partner Stores has also increased to 8,400 as of Oct 13, covering supermarkets, grocery stores, cooperative shops, and mini markets in urban, rural, and remote areas.
In response to an additional question from Siti Zailah, who wanted to know about improvements, leakage control mechanisms, and long-term impact studies to ensure that the SARA programme genuinely helps the targeted groups without negatively affecting micro-grocery stores, Lim explained that the Ministry of Finance (MoF) encourages grocery stores or traders who wish to join the SARA Partner Programme to apply for participation.
On Friday, Anwar, who is also the finance minister, presented Budget 2026 amounting to RM470 billion, of which RM419.2 billion is government allocation. The budget, themed ‘The Fourth MADANI Budget: The People’s Budget’, is the first under the 13th Malaysia Plan (13MP) 2026–2030.
-- BERNAMA
