Budget 2024: PM Anwar Focuses on Low & Medium Income Groups

<p>&nbsp;The 2024 Madani Malaysia Budget presented by the Prime Minister and Minister of Finance, YAB Dato' Seri Anwar Ibrahim last Friday has invited various reactions in the community.</p><p><br /></p><p>The 2024 budget focuses on the low and middle income groups through controlling the cost of living and increasing income.</p><p><br /></p><p>PM Anwar presented the 2024 Budget in the Dewan Rakyat with the theme "Economic Reform, Empowering the People".</p><p><br /></p><p>The essence of the budget presentation was observed by economic analysts covering various aspects including economic growth, tax enforcement, new economic restructuring plan, people's assistance, higher education fees and others.</p><p><br /></p><p>The following is part of the essence of the 2024 budget outlined.</p><p><br /></p><p>The Unity Government allocated a total of RM393.8 billion for this budget which comes from income tax, loans and use of government assets, non-tax revenues, direct and indirect taxes.</p><p><br /></p><p>The government expects GDP growth to increase to 5% and the 2024 fiscal deficit is projected to decrease in 2023 and 2022.</p><p><br /></p><p>For tax, the government will enforce the implementation of Capital Gains Tax for the disposal of unlisted shares by local companies based on net profit at a rate of 10% from 1 March 2024.</p><p><br /></p><p><br /></p><p>The SST tax is proposed to be increased to 8% from the previous 6%, while the High Goods Tax will be introduced at a rate of 5-10%.</p><p><br /></p><p>In the business sector, RM900 million in loan funds have been allocated to encourage small and medium-sized businesses (SMEs) to increase productivity through automation and digitalisation.</p><p><br /></p><p>Civil servants grade 56 and below will receive an Initial Incentive Payment amounting to RM2,000 and paid at the end of February 2024.</p><p><br /></p><p>For government retirees including pensioned and non-pensioned veterans are eligible to receive an Initial Incentive Payment amounting to RM1,000 and will also be paid at the end of February 2024.</p><p><br /></p><p>For people's assistance, the rahmah 2024 cash contribution (STR) is allocated to RM10 billion, which is increased from RM8 billion which will benefit about 9 million beneficiaries.</p><p><br /></p><p>The first payment is increased to Rm500 and will be distributed before Ramadan.</p><p><br /></p><p>Allocated as much as RM55 million in electricity subsidies for the extreme poor at RM40 per month.</p><p><br /></p><p>Students' higher education fees are limited to no more than Rm1,500 and there are no subject registration restrictions if students cannot afford to pay the fees.</p><p><br /></p><p>PTPTN is also given a repayment discount for those who are in debt to settle the loan balance.</p>