Prime Minister Anwar Ibrahim said Malaysia's planned fiscal realignment will not affect recruitment of new doctors and nurses, or construction of clinics, though the scope of luxury hospitals will be reduced [1]. He said healthcare and education remain fully protected under the spending changes announced on May 4 in Kuala Lumpur after attending the Ministry of Natural Resources and Environmental Sustainability assembly [1].
"I want to clarify that the recruitment of new doctors and nurses is not affected. The construction of clinics is not affected, only the scope of luxury hospitals is reduced," Anwar said [1]. He also assured that new schools and classrooms for the current student intake will not be impacted by the fiscal realignment, stating, "Schools for the purpose of education, construction of new classrooms for current student intake are not affected" [1].
The government is considering tighter controls on non-essential spending such as overseas travel, expensive training courses, and events held at luxury hotels to achieve the savings [1]. Anwar emphasized the shift by stating, "Excessive spending on courses… if training is available locally, it should be done domestically, not overseas." He added, "Events at luxury hotels will be stopped and instead held at ministries" [1].
The proposed operating expenditure reductions are expected to total RM5.4 billion and involve sectors including health and higher education [1]. These measures aim to reduce costs without cutting frontline public services.
Anwar made the remarks on May 4 following the monthly assembly of the Ministry of Natural Resources and Environmental Sustainability in Kuala Lumpur [1]. The government has not announced a timeline for when the detailed spending adjustments will take effect.