Malaysia's Budget 2026, themed "Belanjawan MADANI Keempat: Belanjawan Rakyat" — the Fourth MADANI Budget: The People's Budget — was tabled in Parliament on October 10, 2025, by Prime Minister Anwar Ibrahim, who also serves as Finance Minister. At RM470 billion, it is the country's largest budget to date and the first aligned with the 13th Malaysia Plan.
The headline figure breaks down into roughly RM338.2 billion in operating expenditure and RM81 billion in development expenditure, alongside investments by government-linked investment companies, public-private partnerships and statutory bodies.
For households, the most direct measures come through cash assistance. The combined Sumbangan Tunai Rahmah (STR) and Sumbangan Asas Rahmah (SARA) programmes were allocated RM15 billion, up from RM13 billion the previous year, reaching around nine million recipients. A notable one-off measure is a RM100 SARA payment to 22 million Malaysians aged 18 and above, distributed in February 2026. Regular STR and SARA recipients receive monthly support, with lower-income families able to receive combined aid of several thousand ringgit a year.
The budget also expands individual tax reliefs aimed at the B40 and M40 groups. These include a RM1,000 relief for entrance fees to local tourism attractions and cultural programmes, an expanded childcare relief of RM3,000 now covering registered daycare for children up to age 12, and broader medical and vaccination reliefs.
Other significant allocations include a record RM2.62 billion in subsidies for paddy farmers and RM3 billion to fund three million job-training opportunities, reflecting a focus on the rural economy and reskilling.
Taken together, Budget 2026 leans heavily on direct support for lower- and middle-income Malaysians, consistent with the Madani framework's emphasis on shared prosperity and compassion — and it forms part of the economic backdrop to the 2026 Johor state election.
