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2017 Malaysian National Budget tabled by the Prime Minister on 21 October 2016

28th October 2016

MGI World Malaysia-Budget 2017

According to Sharifah AlJeffri, principal of AlJeffri Dean the Malaysian national budget for 2017 is pragmatic and at the same time strategic. It is inclusive, prudent in spending and aim’s to generate economic growth.

The Budget projected an optimistic increase of more than 4% GDP growth that will generate sufficient income to meet the Budget allocation of RM 260.8 billion with a small fiscal deficit of 3%. Out of the allocation, about 80% is for operating expenditure, 10% for economic development and 5% each for security as well as general administration. The allocation for economic development covers a broad spectrum of strategies and a clear direction to rejuvenate the creative industry.

The budget aims to make Malaysia more competitive by reducing the tax rate of first RM 500,000 of qualified SME from 19% to 18%. It also reduces tax rate between 1 & 4% point for companies with significant increase in taxable income for year of assessment 2017 and 2018.

Full details of the Malaysian 2017 budget can be found on AlJefffri Dean website