Budget 2027: Govt allocates RM80b for subsidies, STR and SARA rises to RM16b

KUALA LUMPUR, Oct 9 — The government expects to spend more than RM80 billion on subsidies, assistance and incentives next year.

Tabling Budget 2027 in Parliament, Prime Minister Datuk Seri Anwar Ibrahim said fuel subsidies were expected to remain high at RM40 billion, while assistance through the Social Welfare Department would amount to nearly RM3.3 billion.

“The government will also increase the allocation for Sumbangan Tunai Rahmah (STR) and Sumbangan Asas Rahmah (SARA) to RM16 billion next year, up from RM15 billion this year.

“All STR recipients would receive SARA assistance of up to RM150 a month, or RM1,800 annually, benefiting up to nine million recipients.