KUALA LUMPUR: Malaysia enters 2027 Budget from a stronger fiscal position, but the next phase of consolidation will require greater focus on how revenue is raised and public funds are spent.
Malaysia Management Accountants Association president Dr Abdul Ahad Mohd Salleh said the fiscal deficit had narrowed from 6.4 per cent of gross domestic product (GDP) in 2021 to 3.7 per cent in 2025.
But the government must maintain discipline while households grapple with cost pressures and businesses face an uncertain global environment.
"Raising more revenue is not necessarily successful if the method creates disproportionate costs elsewhere in the economy.
"Equally, a larger allocation does not by itself show that a programme has worked," he said.
