CAP warns of fiscal, health and retirement risks in Malaysia's 2027 Budget

The Consumers' Association of Penang welcomed the 2027 Budget’s overall advantages for Malaysians but highlighted several vulnerabilities. President Mohideen Abdul Kader cautioned that the RM40 billion fuel subsidy depends on volatile global oil prices and called for more focused subsidies, redirecting savings to essential goods. He noted the minimum wage rise to RM2,000 but advocated for a true living-wage model aligned with Bank Negara Malaysia guidelines.

CAP warned that the RM47.7 billion health allocation, a 2.5 percent increase, may be insufficient for preventive care and could pressure public hospitals. The group also criticized a policy letting EPF members under 55 use Akaun Sejahtera funds for Medi-Asas premiums, risking further depletion of retirement accounts. Additional initiatives such as mandatory telematics for heavy vehicles, an e-commerce Bill, community rangers for anti-poaching, free transport for vulnerable groups, and eco-friendly farming were welcomed, but CAP stressed the need for continuous monitoring to avoid waste and corruption.