Kuala lumpur: The government has successfully saved nearly RM5 billion by July 14, 2026, through the implementation of expenditure control measures. This follows a RM10 billion adjustment to the operating expenditure allocation for the year, as announced by Deputy Finance Minister Liew Chin Tong.

According to BERNAMA News Agency, the Ministry of Finance (MOF) issued directives on April 29, 2026, to adjust allocations across all ministries and government agencies. These measures were introduced to address the challenges posed by the global supply chain crisis. Engagement sessions were subsequently held to outline the necessary expenditure control criteria.

The Deputy Finance Minister highlighted that these measures have significantly enhanced public financial management efficiency without affecting the delivery of essential services or the nation's economic stability. 'Due to the early interventions already undertaken by the government, Malaysia remains stable even in the face of the global supply chain crisis,' Liew stated during a Senate question-and-answer session.

In response to Senator Hussin Ismail's inquiry about budget savings and the impact of allocation cuts, Liew explained that ministries and agencies were allowed to reorganise their expenditures based on current priorities and needs. This flexibility was intended to ensure uninterrupted public services.

Liew assured that the Ministry of Finance is willing to review urgent needs raised by ministries and agencies, contingent on the government's fiscal position and expenditure priorities. He clarified that the budget adjustments would target non-critical expenditure, restrict official travel, and postpone the creation of new positions and hiring.

The Deputy Finance Minister reiterated the MOF's commitment to implementing expenditure adjustments without compromising essential services. This includes maintaining health services, subsidies, social welfare aid, agricultural incentives, and other government assistance programs.