Budget 2027 spending reaches RM510 billion with government-linked funding
Government-linked investment companies will provide RM25 billion, while public-private partnerships will account for RM11 billion.
Prime Minister Datuk Seri Anwar Ibrahim said Budget 2027 expenditure would total RM510 billion, incorporating RM50.2 billion beyond the federal government's outlay through government-linked entities and other funding channels.
The Economic Report 2026/2027 records RM459.8 billion in federal government expenditure for 2027, including RM77.5 billion derived from the fiscal deficit. During his budget presentation in the Dewan Rakyat, Anwar said the government was continuing an expansionary fiscal policy.
Anwar said RM25 billion from government-linked investment companies was intended to bolster the domestic economy's resilience. Allocations for Selangor's semiconductor sector include Khazanah Nasional Bhd's RM1.2 billion and KWAP's RM1 billion.
The previously announced New Economy Venture Fund involves RM1.25 billion for developing logistics assets and data centres in Elmina, Selangor. Participants include the Armed Forces Fund Board (LTAT), Sime Darby Property Bhd and the Employees Provident Fund (EPF).
Anwar also set out contributions of RM14.2 billion from statutory bodies and the Ministry of Finance, alongside RM11 billion from public-private partnerships. The corresponding projection for spending beyond federal government outlay in Budget 2026 was RM30 billion.
