PUTRAJAYA, May 4 — Austerity measures that could see billions of ringgit slashed from several ministries will not affect core programmes, including critical healthcare services and the recruitment of new doctors.
Prime Minister Datuk Seri Anwar Ibrahim clarified the matter this morning amid concerns that spending cuts, driven by ballooning subsidy bills, could hurt crucial public programmes.
“There was some confusion about the review of certain expenditures,” Anwar told reporters after speaking at the Ministry of Natural Resources and Environmental Sustainability’s monthly assembly here.
“It won’t affect healthcare services or the hiring of new doctors and nurses. Even the construction of new clinics will continue.”
Critical education spending will also be kept, Anwar explained. He said while there will be some cuts, the plan to build new classes for the incoming Year 1 students will continue.
“Yes education spending will have some reduction but building of new classes for Year 1 won’t stall. Some people reacted prematurely when the news came out but no (they are mistaken),” he said.
“We are talking about big spending, such as sending students for courses abroad, if they can do it here just do it locally,” Anwar added.
“Then celebrations and all that, we will stop it. Also the scope of construction — any excess will be reduced.”
The prime minister’s clarification came following weeks of public anxiety over the national budget, after news reports surfaced that the Treasury would make cuts of up to RM10 billion as part of broader push to save cost.
The government had indicated that it would take swift measures to tackle the global crude oil price surge, which has exceeded US$115 per barrel as the Middle East conflict plunged the world into one of the worst energy supply crises.
Anwar said his administration would commit to keeping RON95 petrol at RM1.99 per litre, but this had shot the fuel subsidy bill for April 2026 up to an estimated RM7 billion from just RM700 million previous month.
