KUALA LUMPUR, May 4 — The government’s proposed cuts to health spending only target the scope of hospital projects, Prime Minister Anwar Ibrahim said today.
He said essential medical services, recruitment of doctors and nurses, and construction of clinics would continue despite the government’s austerity drive.
“It is only the more luxurious scope of hospital projects that will be reduced slightly,” Anwar was quoted as telling reporters in Putrajaya today after officiating the Natural Resources and Environmental Sustainability Ministry’s monthly assembly.
Given the finance minister’s remarks, it’s unclear if development expenditure is now included in the planned RM4.65 billion cuts to the Ministry of Health’s (MOH) 2026 expenditure, or 10 per cent of its total budget.
The Ministry of Finance (MOF) said in a statement last Thursday that spending cuts were only targeted at “non-critical” operational expenditure, without mentioning development expenditure.
The MOH received an RM46.5 billion allocation for this year under Budget 2026, comprising RM39.8 billion in operating expenditure and RM6.7 billion in development expenditure.
Emoluments comprised about 62 per cent (RM24.8 billion) of the MOH’s RM39.8 billion operating budget, followed by services and supplies at RM13.9 billion. Assets, fixed payments, and other expenses made up only about RM1 billion.
CodeBlue earlier reported that pharmacists are bracing for a reduction in drug dispensing supply and cuts to more effective diabetes and cardiovascular drugs, while doctors have warned that they won’t work for free if on-call claims are prohibited.
