2027 Malaysian Budget Likely to Extend Tech-Sector Funding and Incentives

Apex Securities predicts that Malaysia's 2027 budget will continue the series of targeted initiatives aimed at bolstering the technology sector, covering financing, incentives, ecosystem development and talent cultivation. The budget, the fifth under the MADANI framework and the second within the 13th Malaysia Plan (2026-2030), will be tabled by Prime Minister and Finance Minister Datuk Seri Anwar Ibrahim on Oct 9. The National Semiconductor Strategy is expected to provide the overarching policy framework, with ongoing artificial-intelligence and data-centre investments driving demand.

Past budgets introduced a RM1 billion electrical and electronics strategic fund, broadened export tax incentives for integrated-circuit design, and in 2026 launched SemiconStart alongside RM550 million from Khazanah Nasional Bhd and Retirement Fund Inc (KWAP). Apex Securities does not foresee a single consolidated allocation for NSS Phase 2 or Phase 3, but rather a series of incremental, sector-specific measures. The scale and reach of these new measures will signal the budget's impact on the tech ecosystem.