Prime Minister Datuk Seri Anwar Ibrahim said on May 4 that Malaysia’s austerity drive will not affect healthcare services, the hiring of new doctors and nurses, or the construction of new clinics. He said, “It won’t affect healthcare services or the hiring of new doctors and nurses. Even the construction of new clinics will continue.” [1]
Anwar also said critical education spending will be kept, including plans to build new classes for incoming Year 1 students. “Yes education spending will have some reduction but building of new classes for Year 1 won’t stall,” he said after the Ministry of Natural Resources and Environmental Sustainability’s monthly assembly in Putrajaya. [1]
The government is weighing cuts to some spending as part of a broader cost-saving push amid rising subsidy bills, and the Treasury had been reported as planning cuts of up to RM10 billion. Anwar said some items such as overseas courses, celebrations and excess construction scope would be reduced or stopped. [1]
He said the government would keep RON95 petrol at RM1.99 per litre. Anwar also said the fuel subsidy bill for April 2026 was estimated at RM7 billion, up from RM700 million in the previous month. [1]
Malaysia’s spending review comes as the administration looks for savings without cutting core public services. Anwar said the government would continue trimming non-essential outlays while protecting health and education budgets. [1]