3 key takeaways of Malaysia's maiden Pre-Budget Statement 2022

Minister of Finance Tengku Zafrul Aziz has shared that in short, Budget 2022 will be formulated with the objective to protect and drive recovery of lives and livelihoods for the people, rebuild resilience of the economy and catalyse socio-economic reforms.

Click here to scroll straight to the Bahasa Melayu release below.

As part of efforts to improve the annual budget preparation process, Malaysia's Ministry of Finance (MOF) has agreed to publish a Pre-Budget Statement (PBS) for Budget 2022, Minister of Finance Tengku Zafrul Aziz has shared.

It is the first in the nation’s history, he added.

"This move is in line with international best practices, whereby a PBS is published to enhance the transparency of the budget process in formulating the annual budget, as well as increase public confidence – particularly among investors – in the country’s fiscal management."

Through the publication of the PBS, Malaysians can track specific metrics such as:

• The economic outlook based on global economic scenario, performance review of the Gross Domestic Product and macroeconomic outlook for 2022 as well as fiscal targets for 2021/2022;
• The tax revenue performance status and tax measures announced under Budget 2021 and stimulus packages in 2021. The PBS document also covers the management of revenue leakages, Malaysia’s international commitments as well as strategies to increase tax revenue and strengthen the tax system; and
• The public expenditure status for 2021 and factors in optimising and controlling expenditure.

The PBS also provides a preliminary overview on the direction, approach and expected benefits of Budget 2022, which will be crafted based on the following objectives and themes:

• Protecting and driving recovery of lives and livelihood: Budget 2022 will drive the national recovery process to ensure that the nation successfully exits from the COVID-19 crisis, as well as continue the post-crisis recovery agenda to help lives, livelihoods and badly-affected economic sectors. Efforts to help vulnerable groups and generate new job opportunities will continue to be prioritised;
• Rebuilding national resilience: Budget 2022 will emphasise on rebuilding the resilience and capacity of the nation's public health system, enhancing digital and technological infrastructure, especially within the education sector, and facilitating the nation’s transition to high productivity industrial sectors based on automated technology and high skills; and
• Catalysing reforms: Budget 2022 will ensure that reform measures are implemented while focusing on achieving the Sustainable Development Goals, the 12th Malaysia Plan (12MP), and the Shared Prosperity Vision 2030 (SPV 2030). 

Alignment of Budget 2022 to the 12th Malaysia Plan and Shared Prosperity Vision 2030

The 12MP is the first phase of the implementation of SPV2030, Tengku Zafrul highlighted. "Therefore, Budget 2022 will also be aligned with 12MP priorities that are scheduled to be tabled to Parliament in September 2021. Aspects emphasised in the 12MP, namely growth, inclusion and sustainability as well as key catalysts will be the basis for formulating and implementing initiatives for Budget 2022."

A coordinated implementation will ensure a more cohesive and structured actionable measures to achieve short- and medium-term goals for national prosperity, he added.

The Ministry is calling on stakeholders to provide feedback and "contribute towards formulating a budget that is well-aligned to the needs of the Rakyat, as well as the country’s policies and national objectives."

Kenyataan Pra–Bajet Sertama negara meningkatkan ketelusan dan keterangkuman melalui proses penyediaan Bajet

*This is the Bahasa Melayu media release, taken straight from MOF's website.

Sebagai salah satu usaha menambah baik proses penyediaan bajet tahunan, Kementerian Kewangan (MOF) bersetuju untuk menerbitkan Kenyataan Pra-Bajet (KPB) bagi Bajet 2022. Ini merupakan KPB yang pertama di dalam sejarah tanah air.

Langkah ini bertepatan dengan amalan terbaik di peringkat antarabangsa, iaitu KPB diterbitkan bagi meningkatkan ketelusan proses merangka inisiatif bajet tahunan, serta membina keyakinan awam terhadap pengurusan fiskal negara, terutamanya dalam kalangan pelabur.

Melalui penerbitan KPB, rakyat berpeluang meneliti beberapa penanda aras termasuk:

1. Tinjauan ekonomi berdasarkan kepada senario ekonomi global, semakan ke atas prestasi Keluaran Dalam Negara Kasar dan unjuran ekonomi bagi tahun 2022 serta sasaran fiskal untuk 2021/2022;
2. Status prestasi hasil percukaian dan inisiatif cukai yang telah diumumkan dalam Belanjawan 2021 dan pakej rangsangan ekonomi pada tahun 2021. Dokumen KPB juga meliputi pengurusan ketirisan hasil, komitmen Malaysia di peringkat antarabangsa serta strategi meningkatkan hasil dan memantapkan sistem percukaian; dan
3. Status perbelanjaan 2021 dan faktor-faktor dalam mengoptimum dan mengawal perbelanjaan.

KPB juga memberi gambaran awal berkenaan hala tuju, pendekatan yang diambil serta manfaat yang bakal dinikmati daripada Bajet 2022, yang akan dirangka berdasarkan matlamat berikut:

1. Melindungi dan memulihkan kehidupan serta mata pencarian: Bajet 2022 akan meneruskan usaha pemulihan dalam memastikan negara berjaya keluar daripada kemelut pandemik COVID-19, serta meneruskan agenda memulih kehidupan dan sektor ekonomi yang terjejas pasca-pandemik. Usaha juga akan digembleng bagi membantu golongan rentan dan mencipta peluang pekerjaan baharu;
2. Membina semula daya ketahanan negara: Bajet 2022 akan memberi penekanan kepada usaha untuk membina semula daya ketahanan sistem kesihatan negara, mempertingkatkan infrastruktur digital dan teknologi terutamanya dalam sektor pendidikan dan menyediakan keperluan untuk negara beralih kepada sektor industri yang mempunyai produktiviti tinggi berasaskan teknologi automasi dan kemahiran tinggi.
3. Memangkin pembaharuan: Bajet 2022 akan memastikan langkah pembaharuan dilaksanakan dengan memberi penumpuan kepada pencapaian Sustainable Development Goals (SDG), RMKe-12 dan Wawasan Kemakmuran Bersama 2030.

MOF yakin bahawa penerbitan KPB akan menyediakan lebih banyak peluang kepada semua pihak berkepentingan untuk memberi maklum balas masing-masing ke arah perangkaan sebuah bajet yang memenuhi keperluan rakyat, serta selaras dengan dasar dan objektif negara.

Kenyataan Pra-Bajet 2022.

Image Tengku Zafrul's Facebook