Finance Minister Anwar Ibrahim outlines education, student aid as Budget 2027 priorities

PUTRAJAYA, 2 OCTOBER 2026 —

Prime Minister Datuk Seri Anwar Ibrahim has confirmed that university students and higher education institutions will be a key focus of Budget 2027, currently under finalisation, as the government prepares to allocate resources across sectors including agriculture, indigenous communities, and emerging technologies.

The announcement underscores the government’s intent to prioritise education alongside broader socio-economic initiatives, with Budget 2027 set to be tabled in Parliament on October 9, marking the fifth iteration of the Madani Budget and the second under the 13th Malaysia Plan (13MP). The budget will continue to align with the Madani Economy Framework, which emphasises raising economic growth, improving living standards, and advancing governance reforms.

Anwar made the remarks during the Tokoh Siswa Negara Awards ceremony in Putrajaya on Thursday (October 1), where he acknowledged the constraints of budget formulation but stressed the inclusion of university students and institutions. "God willing, university students and universities will certainly also be included (in the Budget). Hopefully, I will be able to deliver what I can within the limitations," he said, highlighting the need for balanced allocations across diverse sectors.

The prime minister noted that Budget 2027 would address the needs of multiple segments of society, including farmers, fishermen, and the Orang Asli, alongside technology and artificial intelligence (AI). "Everything is reasonable and rational. From the paddy fields in Kedah, fishermen in Terengganu, the Orang Asli, Iban longhouses in Sarawak, technology and AI, all are demanding attention," he stated. His remarks reflected the government’s commitment to a multi-sectoral approach, ensuring no critical area is overlooked.

Anwar revealed that his hectic schedule in finalising the budget had led to the cancellation of most events this week, except for select engagements, including the Formula 1 race at the Sepang International Circuit (SIC). He explained that while he had to decline many commitments, he made an exception for the university students’ event, stating, "For the university students, I felt that I wanted to attend."

The Higher Education Ministry, represented by Minister Datuk Seri Dr Zambry Abd Kadir, Deputy Minister Adam Adli Abd Halim, and Secretary-General Datuk Dr Aminuddin Hassim, was present at the ceremony, reinforcing the sector’s prominence in the upcoming budget discussions.

Budget 2027 will build on the Madani Economy Framework’s three pillars: Raising the Ceiling (driving national growth), Raising the Floor (enhancing well-being), and Driving Governance Reform (strengthening administration). The allocation for higher education is expected to reflect these priorities, though specific financial details remain undisclosed pending the official tabling on October 9.

The focus on AI and technology suggests a push to integrate digital advancements into Malaysia’s economic strategy, while the inclusion of farmers, fishermen, and indigenous communities aligns with broader efforts to uplift marginalised groups under the 13MP. The budget’s finalisation process, however, remains tightly controlled, with Anwar emphasising the need for rational and inclusive resource distribution.

As the government prepares to unveil its fiscal plans, stakeholders in education, agriculture, and technology sectors will closely monitor the allocations, particularly those targeting university students and institutions, which Anwar has explicitly prioritised. The October 9 tabling will mark a critical juncture in determining how these sectors fare in the coming financial year.