KUALA LUMPUR, Dec 9 ― The Perikatan Nasional-led Melaka government has tabled the state’s Budget 2021 for the first time today worth RM520.86 million involving an operating expenditure of RM445.86 million and development expenditure of RM75 million.

Melaka Chief Minister Datuk Seri Sulaiman Md Ali said the operating expenditure of RM445.86 million was 14.32 per cent higher compared with RM390 million last year, while the development expenditure increased by 7.14 per cent or RM5 million from 2020.

Sulaiman (BN-Lendu) said out of the total budget of RM445.86 million, some RM177.54 million has been allocated for services and supplies (40.69 per cent), RM142.40 million for grants and fixed expenditure (32.63 per cent), RM111.87 million for emoluments (25.64 per cent), RM3.97 million for asset procurement (0.91 per cent), RM0.59 million for other expenditures (0.13 per cent), and RM9.48 million (2.13 per cent) for the purpose of liabilities.

“To ensure service quality to all groups of people up to the grassroots, the State Legislative Assembly (DUN) Coordinating Committee will continue to be strengthened. For 2021, the state government will allocate RM14.50 million,” he said when tabling Budget 2021 during the Melaka DUN at Seri Negeri Complex here, today.


Sulaiman said the budget for next year was unlike the previous budgets as the state was facing huge challenges that were unprecedented, causing the state government to face uncertainty in revenue.

The budget, however, was in line with the state’s slogan which emphasises the word “people” as the main spirit, and the state government will prioritise the interests of everyone in Melaka, added the chief minister.

“I feel the hardship faced by the people in Melaka. As a sign of our concern, all state executive councillors and I have agreed to cut our salaries by 10 per cent for one year, from January to December 2021. The money will be put into the Melaka State Disaster Fund to help those affected by the Covid-19 pandemic.


“Going forward, in my opinion, the budget should take into account the strategic planning aspect, leading to Big Plan, Bold Action and Faster Results. This includes optimising spending, exploring new sources of revenue and empowering state government agencies and companies,” he said.

Sulaiman said the budget would be based on the latest state mission based on TERAS, namely Technology, Entrepreneurship, Industrial and Economic Revolution, International and Prosperous, and 12 strategies had been planned to realise the mission.

The 12 strategies are to provide Covid-19 pandemic impact incentives, expand smart initiatives, expand applications, develop the people’s economy, encourage high-impact investments, invigorate investments in the manufacturing sector, boost the tourism sector, intensify educational institutions, strengthen local governments, pursue people’s welfare incentives, address citizen issues, and strengthen Islamic economic institutions.

Sulaiman also made a special announcement for civil servants in the state. 

“To appreciate the hard work done by employees in the civil service, I am pleased to announce a special financial assistance to all civil servants in Melaka, amounting to a bonus of a half-month salary or a maximum of RM1,000, which will be paid this month,” he said. ― Bernama