Budget 2027: Kelantan, Terengganu, Perlis, Kedah, Sabah, Sarawak get RM21.26b development allocation

The Malaysian government has allocated RM21.26 billion in development expenditure to six underdeveloped states for Budget 2027, according to Economy Minister Akmal Nasrullah Mohd Nasir. These states, which include Kelantan, Terengganu, Perlis, Kedah, Sabah and Sarawak, were chosen based on their individual needs and the commitment to infrastructure development.

The allocation reflects the administration's dedication to bridging the development gap between states, particularly those that are lagging behind in infrastructure and socio-economic growth. Minister Nasir emphasized that this commitment is not influenced by political differences and is in line with the responsibilities of the federal government as outlined in the 13th Malaysia Plan (13MP).

The development spending of RM83 billion under Budget 2027 is primarily focused on infrastructure development, creating economic opportunities, and enhancing social mobility. Key priorities include the development of schools, healthcare facilities, and efforts to mitigate the impacts of climate change. Minister Nasir highlighted ongoing projects such as the construction of a dam in Kelantan to address flooding issues and the development of a water treatment plant in Machang.

The Ministry of Economy evaluates development expenditure based on the desired outcomes, ensuring that project implementation achieves the intended objectives. However, the minister noted the importance of managing risks associated with delays, such as land acquisition and utility relocation, without using them as excuses for inaction.

The ministry is now evaluating preliminary studies before allowing the full project applications to proceed, aiming to avoid situations where issues like site incompatibility are only identified after a project has been announced. This approach ensures that the public does not have to wait an unreasonable length of time for infrastructure to become available for use.