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Showing posts with label Budget 2023 highlights. Show all posts
Showing posts with label Budget 2023 highlights. Show all posts

Friday 7 October 2022

Malaysian Budget 2023 RM372.3bil from last year’s RM332.1bil

    


 

Tengku Zafrul unveils RM372.3bil budget

 Finance Minister Tengku Datuk Seri Zafrul Abdul Aziz announced on Friday (Oct 7) that RM372.3 billion will be set aside for Budget 2023 versus last year’s RM332.1 billion allocated in the previous budget.


 

In tabling Budget 2023, Finance Minister Tengku Datuk Seri Zafrul Abdul Aziz said the government has allocated RM15.bil for the Higher Education Ministry and RM6.7bil for various Technical and Vocational Education and Training (TVET) activities.  

Budget 2023: Income tax cut by 2% for RM50,000-RM100,000 taxable range

 The personal taxation rate will be reduced by 2% on taxable income ranging from RM50,000 to RM100,000 for domiciled individuals.

In tabling Budget 2023 in Parliament on Friday (Oct 7), Finance Minister Tengku Datuk Seri Zafrul Abdul Aziz said for the taxable income range RM50,001 to RM70,000, the rate will be reduced from 13% to 11%.


 [LIVE] Tabling of 2023 Budget in Parliament

[LIVE] Special programme on 2023 Budget with former finance minister II Datuk Seri Johari Abdul Ghani and PKR deputy president Rafizi Ramli.

What's in the RM372.3bil Budget 2023 - FMT


PETALING JAYA: Finance Minister Tengku Zafrul Aziz has tabled Budget 2023, announcing an allocation of RM372.3 billion. This represents a RM40.2 billion increase compared to the RM332.1 billion allocated for 2022.

Around RM272.3 billion has been allocated for operational expenditure and RM95 billion for development. -Advertisement-

Here are the highlights of Budget 2023:

Education

RM55.6 billion allocated for education, the biggest in the budget for a ministry.

RM825 million in early school aid for students, with students receiving RM150 regardless of their parents’ incomes.

RM777 million for supplementary food programme (RMT), benefiting 800,000 students and 7,300 canteen operators.

RM2.3 billion to ensure students have a conducive and safe learning environment.

RM1.1 billion to repair and maintain all schools, including vernacular and religious schools.

RM430 million to construct five new schools in Sabah, Sarawak, Terengganu, Cyberjaya and Selangor.

RM20 million to improve facilities in special needs schools.

RM188 million to set up 10 Kemas daycare centres.

Development

RM1.5 billion for sustainable development.

RM562 million to implement the Sabo dam project.

RM510 million to improve road infrastructure to Pengerang.

Pan Borneo Highway to be completed by 2024.

RM11.4 billion for maintenance and repair of existing government buildings.

RM5.2 billion for maintenance of state roads.

RM150 million for the development of border towns near Thailand and Kalimantan.

RM3.7 billion for small and medium projects across the nation.

RM500 million on G1-G4 infrastructure projects.

Social Welfare

In total, Putrajaya will spend RM10 billion in welfare and Bantuan Keluarga Malaysia (BKM) aid.

RM2.5 billion in welfare aid benefiting 450,000 households.

RM2,500 in BKM aid for households earning less than RM2,500 monthly.

Up to RM1,250 BKM aid for singles and RM3,000 for single parents.

One-off RM500 incentive for female BKM recipients who give birth in 2023.

RM7.8 billion for BKM which will benefit 8.7 million people.

RM1 billion in welfare aid for the elderly.

RM1.2 billion to support disabled people to be financially independent.

RM10 million in e-hailing vouchers for the disabled.

RM8 million for social support centres.

RM734 million for MySalam programme. This will benefit 1.5 million people from the B40 group.

Voluntary Employees Provident Fund (EPF) contributions raised from RM60,000 to RM100,000 a year.

RM21 million in grants for operators of welfare homes.

Limits for Amanah Saham Bumiputera (ASB) and ASB2 savings to increase to RM300,000.

Government to provide incentives to establish more daycare centres for the disabled.

RM120 million for Kasih Suri Keluarga Malaysia programme, benefiting 200,000 housewives.

Security

RM431 million to procure new assets for the police.

RM42 million to upgrade police quarters.

RM118 million for the maintenance of armed forces homes.

RM28 million to upgrade prison staff quarters.

RM73 million to enhance cybersecurity.

The government will set up a national scam response centre.

Health

Total of RM36.1 billion allocated for the health ministry.

RM11 million for subsidies for mammograms and cervical cancer screening.

RM20 million to promote Malaysia as a medical tourism destination.

RM4.9 billion for public healthcare.

RM420 million to repair dilapidated hospitals and clinics.

RM1.8 billion to purchase new equipment for hospitals and clinics.

The government to set up a mental health centre of excellence.

RM10 million to purchase 3D printing machines for dental health services.

Allocations to treat rare diseases increased to RM25 million.

RM80 million for Socso health screening programme.

RM15 million for Agenda Nasional Malaysia Sihat programme to encourage healthier lifestyles.

RM80 million for the PEKA B40 programme.

Import duty and sales tax exemptions for nicotine replacement therapy products.

Economy

RM235 million to support the development of female entrepreneurs.

RM50 million for young trader scheme under Bank Simpanan Nasional.

2% reduction in income tax of micro SME operators.

One-off RM1 billion grant to all registered MSMEs and taxi drivers. To benefit one million recipients.

RM45 billion Semarak Niaga funds for entrepreneurs.

RM10 billion in funds from Bank Negara Malaysia (BNM) to automate and digitise SMEs.

RM200 million to boost income and productivity of smallholders.

GLCs and GLICs to invest up to RM50 billion in 2023.

Government-linked companies (GLCs) and government-linked investment companies (GLICs) to invest RM50 billion in 2023, including RM45 billion in direct domestic investments.

The government will provide incentives for multinational companies to establish operations in Malaysia.

RM100 million to support development of local technology companies.

RM10 million in matching grants allocated to help SMEs.

RM800 million to provide RM100 e-wallet credit for 8 million people in the M40.

Petronas will contribute RM2 billion to the National Trust Fund (KWAN).

RM1.4 billion to boost connectivity in the five main economic corridors.

Civil service

RM100 subsidy for civil servants for insurance coverage.

RM1.5 billion for RM100 increment for all civil servants between Grade 11 to Grade 56.

RM1.3 billion for one-off RM700 special aid for 1.3 million civil servants under Grade 56.

RM350 one-off aid for one million retired civil servants.

Aidilfitri aid for civil servants increased to RM600.

Special leave for over 500,000 teachers.

Higher education

RM15.1 billion allocated for the higher education ministry.

RM3.8 billion for scholarships and education loans.

RM6.6 billion for Bumiputera education loans.

RM6.7 billion for TVET training and education.

RM180 million to fund TVET training, benefitting 13,000 trainees.

Up to 20% discounts for PTPTN repayments from Nov 1 to April 30, 2023.

Environment

RM15 billion for flood mitigation initiatives.

RM2 billion to build retention ponds.

RM500 million to widen rivers in Kelantan.

RM3 billion for Green Technology Financing Scheme (GTFS).

RM150 million from Khazanah Nasional Berhad to support development of green projects.

RM165 million for Tenaga Nasional Berhad (TNB) to set up solar rooftops and EV charging stations.

Carbon tax to be introduced.

100 million trees to be planted by 2025.

The government will step up forest restoration projects.

RM100 million for ecological fiscal transfer (EFT).

RM36 million to support conservation of elephants and other endangered species.

RM216 million to clean rivers nationwide.

Job creation and community support

The MyStep programme will provide 50,000 jobs including 15,000 in the public sector and 35,000 in government-linked companies (GLCs). RM750 million to upskill 800,000 workers.

RM100 million for Mitra to develop entrepreneurs. Socso to provide incentives for employers to hire the disabled, Orang Asli, ex-convicts and women returning to work. The incentive worth up to RM750 a month will be given for three months per employee.

Socso will provide incentives for employers to hire jobless youths.

RM50 million to boost Bumiputera commercial property ownership.

RM20 million to set up new urban transformation centres (UTC).

RM11 million on mobile bank initiatives.

RM63 million for development of human capital.

RM50 million to support development of female contractors.

RM100 million for Khazanah’s Yayasan Hasanah to conduct various community initiatives.

Sabah and Sarawak

Total RM11.7 billion allocated for Sabah and Sarawak.

RM1.2 billion to improve the infrastructure in dilapidated schools in Sabah and Sarawak.

RM209 million to subsidise air travel to rural areas in Sabah and Sarawak.

RM1.5 billion to improve transport infrastructure in Sabah and Sarawak.

RM100 million to improve the water supply system in Sarawak.

RM250 million for expansion of the Sapangar Bay Container Port (SBCP).

Taxes

Personal income tax reduced by 2% for those earning between RM50,001 to RM100,000.

This will benefit over one million people in the M40.

Income tax exemptions of up to RM3,000 for Tadika and daycare fees.

Tax incentives to attract investors.

Government reiterates implementation of Tax Identification Number to widen tax base.

Tax incentives for local pharmaceutical companies will be extended.

Tax incentives and RM50 million to support development of aerospace components.

The government will provide special incentives for investors in the chemical and petrol chemical industry.

Import duties and sales tax exemptions for the purchase of film equipment.

Tax incentives for NGOs involved in sports at the grassroots level.

Tax incentives for green initiatives extended to Dec 31, 2025.

100% income tax exemption for manufacturers of EV charging parts.

Additional tax deductions for employers who hire former residents of juvenile institutions.

Government to introduce qualified domestic minimum top-up tax.

Tourism

RM200 million to promote tourism recovery.

RM90 million in grants to promote tourism activities.

New chartered flights to and from East Asia and the Middle East.

RM10 million to promote eco-tourism.

RM25 million in incentives to promote domestic tourism.

RM500 million in tourism financing from BNM.

RM10 million for the ThinkCity initiative in Kuala Lumpur.

Arts and Culture

RM50 million to support the local film industry.

RM102 million to support local artists.

RM5 million to strengthen national language programmes.

RM10 million to support preservation of local languages and cultures.

Commodities

RM200 million to subsidise the logistic cost for the distribution of essential goods.

The government will hold Keluarga Malaysia sales offering essential items at more affordable prices.

The government will continue measures to combat the illicit cigarette trade.

RM20 million in matching grants to support development of local products.

RM10 million to support the made in Malaysia campaign.

RM92 million for development of the halal industry.

Approved permit fees for import of EVs extended to Dec 31 next year.

RM256 million in monsoon aid for rubber smallholders.

Agriculture

RM1.8 billion in subsidies for farmers and fishermen.

RM228 million in aid for padi farmers. This will benefit 240,000 people.

The government will introduce an agriculture protection scheme.

RM1 billion to fund agrofood programmes.

RM56 million to support sustainable farming.

RM315 million for rubber planting programmes.

RM40 million to encourage smallholders to diversify their crops.

RM70 million to support the Malaysian Sustainable Palm Oil (MSPO) certification programme.

The government will support automation initiatives in the plantation sector.

Defence

RM17.4 billion for the defence ministry, including RM4 billion for the purchase of new military assets.

RM485 million for the maintenance of all MMEA ships and boats.

RM330 million for EV infrastructure.

Transport

RM180 million to improve bus services in Melaka, Kedah, Kota Kinabalu and Kuching.

Continuation of My50 RapidKL monthly pass to benefit 180,000 users.

RM16.5 billion for major transport infrastructure projects.

RM50.2 billion for the MRT3 project.

RM1 billion for the maritime and logistics industry.

Housing

Stamp duty discounts of up to 75% for houses worth between RM500,000 to RM1 million.

RM10 stamp duty for properties transferred between family members.

RM367 million to build people’s housing projects (PPRs), to benefit 12,400 new residents.

RM3 billion for housing credit guarantees.

RM40 electric bill subsidy to be extended.

Digital connectivity

Phase 2 of the Jendela project to involve RM8 billion in investments, including from industry players.

RM700 million allocated for Jendela to expand digital connectivity in 47 industrial areas and 3,700 schools.

Digital Nasional Berhad (DNB) to spend RM1.3 billion in infrastructure development to widen 5G internet coverage nationwide.

Youth and sports

RM305 million in loans for youths to start businesses.

The government will introduce a special internet package for youths at RM30 for three months.

RM400 million to continue the e-Pemula scheme, which will benefit two million youths aged 18 to 20.

The government will bear the costs of e-hailing, taxi, and motorcycle licences for youths.

RM145 million to improve sporting infrastructure nationwide.

RM154 million to develop the local sporting ecosystem.

RM20 million to develop a drag race circuit.

RM13 million to develop e-sports.

RM12 million to support disabled athletes.

Rural communities

RM305 million for the Orang Asli community.

RM2.6 billion for Felda, Felcra and Risda.

RM472 million to improve rural electricity infrastructure.

RM54 million to build 85 new bridges in rural areas.

Disaster management

Additional RM400 million in allocation for the National Disaster Management Agency (Nadma) to prepare for year-end floods.

RM100 million allocated for the national disaster relief fund.

RM20 million in grants for community associations to assist in natural disasters.

Others

RM1.5 billion for Islamic development.

RM150 million for the maintenance and repairs for educational facilities under Jakim.

RM364 million for research and development for higher education as well as science, technology and innovation ministry.

RM30 million to improve I-Saraan programme that will benefit 100,000 people.

All self-employed people will be required to contribute to Socso from next year onwards.

The government will introduce e-invoice similar to initiatives in France and Brazil.

The government will table a consumer credit bill in the second quarter of 2023.

Related:

Highlights of Budget 2023 | The Edge Markets

 

Budget 2023 highlights - The Malaysian Reserve

 

Comments:

Too-many-goodies-not-enough-strategy-says-think-tank

 https://www.freemalaysiatoday.com/category/nation/2022/10/07/too-many-goodies-not-enough-strategy-says-think-tank/

 

Contractors, tycoons celebrating record budget for development, says MP

 

 

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