Malaysian civil society organisations working with and for older persons welcome the direction set in Budget 2026 — expanded welfare allocations, stronger prevention through tax relief for vaccines, caregiver training, and senior living pilots.
These are the right signals. This 2026 Budget will begin to deliver on the 13th Malaysia Plan (13MP), which has a strong emphasis on preparation for the aged nation. We have, therefore, examined whether the government is keeping to their promises in the plan.
Malaysia became an ageing society in 2021. By 2030, 15 per cent of our population will be aged 60 years and over, and by 2044, a similar percentage will be aged 65 years and over.
If we do nothing different, we face a smaller productive workforce, heavier family burdens, and rising costs from preventable illness, dementia, and avoidable hospitalisations.
We have spent the past week reflecting on the “cautious” budget Prime Minister Anwar Ibrahim presented. The key takeaways were the need to balance our fiscal deficit against the short-term well-being of the rakyat.
Our immediate Ministry of Health (MOH) priorities were, therefore, addressed through more permanent posts and on-call allowance for doctors.
There were also initiatives to divert patients to non-MOH hospitals. The increase in hospital capacity would address issues with long waiting lists and bed shortages fuelled by an increasing need from population ageing.
The increased emphasis on prevention was met with extension of tax rebates to all approved vaccines, which should encourage older adults to take up influenza and other available vaccines, reducing the need for hospital care.
The Prime Minister’s announcement of preparations for an aged nation was followed by the allocation for the Ministry for Women, Family and Community Development (KPWKM) to the tune of RM1.26 billion, which will be provided for the welfare benefits of 180,000 (4.5 per cent) of the four million older persons in Malaysia, a 26 per cent increase over the RM1 billion in 2025, for social pensions, activity centres, home help services, and hospital transport.
There will also be a RM5 million allocation for caregiver training and RM300 million spending on retirement housing on Baitumal land in Kepala Batas. This 26 per cent increase is naturally welcome, and we sincerely thank the Ministry of Finance for this relatively large increase in view of fiscal constraints.
We also particularly laud the government’s commitment to improve care through much-needed allocations for caregiver training, and we hope this will see a rapid increase in number of providers and courses, leading to increased accessibility. The senior living pilot can set Malaysian benchmarks for affordability, safety, and connected services.
There are clearly many competing priorities. Therefore, while we did not hear any other mention when it came to older persons, we remain hopeful that allocations do exist within the granular details that were not published or read out, as the Budget covers a wide range of circumstances.
While we must provide for older adults who need care, preparation for the aged nation, as clearly stated within 13MP extends far beyond that. We look forward to structural reforms and other initiatives that will enhance economic productivity through extending working lives and expansion of the silver economy.
We are now waiting in anticipation for evidence that Budget 2026 will deliver on the government’s aspirations, communicated through the Action Plan for Older Persons launched on October 5, 2025 by KPWKM, the National Dementia Action Plan 2023-2030, and the Action Plan for Health Services for Older Persons launched on October 1, 2024.
We are also hopeful that the National Ageing Blueprint will become a public document.
If the government, civil society, the private sector, and local communities act together, we can add healthier years, keep care closer to home, build service-integrated housing, and create dignified jobs in the care and silver economy.
These advances must be locked into clear rules, fair funding, and transparent delivery so they outlast news cycles and truly reach families.
Ageing is not a crisis — it’s a coordination test. Bring one lever you control; we will match it with one we control. Together, we will turn every ringgit into a result: healthier years, safer homes, real choices, and jobs with dignity for older Malaysians.
Endorsed by:
- Gerontological Association of Malaysia (GEM)
- Malaysian Healthy Ageing Society (MHAS)
- Malaysian Society of Geriatric Medicine (MSGM)
- Malaysia Association for Residential Aged Care Operators of Malaysia (AGECOPE)
- USIAMAS
- Malaysian Coalition on Ageing (MCOA)
- Dementia Association of Malaysia (DAMAI)
- Dementia Society Perak (BebeLEC Dementia Daycare)
- Johor Bahru Dementia Association (JOBADA)
- Penang Dementia Association
- Sarawak Gerontology & Geriatrics Society (SGGS)
- SeniorsAloud
- Third Age Media Association
- Kampungku
- Malaysian Women’s Action for Tobacco Control and Health (MyWATCH)
- Nursing Care Association Selangor (NCAS)
- Persatuan Pesara LPPKNM
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