KUCHING: Budget 2025 aims to stimulate economic activity while strengthening the resilience of the nation’s financial position, targeting a reduction in the nation’s fiscal deficit from 4.3 per cent of the gross domestic product (GDP) in 2024 to 3.8 per cent in 2025.
In stating this, Bursa Malaysia chairman Tan Sri Abdul Wahid Omar pointed out that the introduction of a 2 per cent tax on dividend income exceeding RM100,000 for individuals, and expansion of Sales and Service Tax (SST) coverage (in the absence of GST) understandably and progressively expand the tax revenue sources, which can be channeled into developmental areas, and help maintain Malaysia’s fiscal position.
“I’m heartened that the Budget places a renewed emphasis on environmental and social action. The introduction of a carbon tax on the steel and energy industries by 2026, aimed at encouraging the adoption of low-carbon technologies, is a significant step towards reducing our country’s carbon footprint.
“The nation’s focus is further demonstrated by the allocation of over RM300 million for the National Energy Transition Facilitation Fund and RM1 billion for the Green Technology Financing Scheme (GTFS) until 2026, accelerating the renewable energy agenda,” he said.
He stated that the allocation of RM250 million towards the Ecological Fiscal Transfer (EFT) underscores the government’s commitment to preserving national biodiversity.
These initiatives reflect a strong commitment to sustainable development – focusing on low- carbon economy, renewable energy and environmental protection.
“We are also hopeful that the multi-faceted incentives under Budget 2025 can drive business growth as the various initiatives cover human capital development and digital adoption.
“Bursa Malaysia will continue with our efforts to encourage and support listed companies to grow and focus on performance (including having at least 30 per cent women on the Board of PLCs), creating value for shareholders and contributing to the nation.
“Overall, Budget 2025 is balanced in addressing Malaysia’s more immediate societal needs, and in catalysing actions towards economic growth and environmental protection,” he said.
