KUALA LUMPUR: Malaysia's fiscal deficit is expected to narrow to RM76 billion, or 3.3 per cent of gross domestic product (GDP), in 2027 from an estimated 3.5 per cent in 2026, keeping the government on track towards its medium-term target of 3.0 per cent by 2028.
In a research note today, Apex Securities Bhd said Budget 2027 is expected to remain mildly expansionary but measured, with the focus likely to remain on targeted household support, fiscal discipline and productivity-enhancing investment.
"Our in-house estimates point to revenue of RM383.3 billion in 2027, up 5.5 per cent year-on-year, while operating expenditure is expected to rise 4.6 per cent to RM378.4 billion.
"Gross development expenditure is projected at RM82.4 billion, versus RM80 billion in 2026," it added.
