KUALA LUMPUR, Oct 5 — The Federal Government’s financial performance improved in 2025, with its revenue surplus increasing by RM2.184 billion and its deficit narrowing by RM3.878 billion compared with 2024.

In a statement on the Auditor General’s Report (LKAN) 2/2026, the National Audit Department said the deficit-to-Gross Domestic Product (GDP) ratio also declined from 4.1 per cent to 3.7 per cent in 2025.

“This achievement is better than the 3.8 per cent target set in the 2025 Budget. It lays a solid foundation for achieving the medium-term deficit target of below three per cent,” the statement said.

Based on the audit conducted, the Auditor General issued an Unmodified Opinion, accompanied by an “Other Matters” paragraph, on the Federal Government’s Financial Statements for the year 2025.