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Country risk, from the local press

Malaysia · Country watch

Budget 2027 Unveiled; Penang Water Disruption

Malaysia's Budget 2027 introduces fiscal changes; Penang faces water supply disruption affecting over 130,000 users.

· · 3 sources

The picture Deteriorating

Business conditions in Malaysia are deteriorating due to fiscal changes in Budget 2027 and disruptions in Penang's water supply. The haze-induced school closures further compound operational challenges.

In this briefing Anwar Ibrahim · Government of Malaysia · K. Pathmanathan · Perbadanan Bekalan Air Pulau Pinang · Sungai Dua Water Treatment Plant · Zulkafli Mohamed Mokhtar · Ministry of Education (Malaysia) · Kinta District · EP Manufacturing Berhad · Hebei Shichang Auto Parts Co Ltd

Regulation

  • public-sector
  • finance

Budget 2027 Unveiled with RM510 Billion Allocation

A red car driving down a street next to tall buildings
Bishan Thapa Magar / Unsplash

Malaysia's government has unveiled its Budget 2027 with a record allocation of RM510 billion, according to Kosmo!. Finance Minister Datuk Seri Anwar Ibrahim announced that RM376.8 billion is designated for federal management expenses, while RM83 billion is earmarked for development expenditure. The budget aims to balance fiscal consolidation with economic growth and address living cost pressures. Key sectors such as public services and infrastructure are expected to benefit from increased funding.

Impact Public-sector projects and financial institutions will see increased funding and fiscal adjustments.

Sources: Malaysiakini ↗

Disruption

  • logistics
  • public-sector

Penang Water Supply Disrupted by Power Outage

A sudden power outage disrupted water supply operations at the Sungai Dua Water Treatment Plant in Penang, affecting 130,790 users, as reported by Utusan Online. The incident halted operations at the plant, according to Perbadanan Bekalan Air Pulau Pinang (PBAPP) CEO Datuk K. Pathmanathan. Restoration efforts are underway, but the impact on water supply remains significant for affected residents and businesses.

Impact Logistics and public services in Penang face operational challenges due to water supply disruption.

Sources: utusen Online ↗

Internal tension

Nothing significant reported today.

Safety & health

  • public-sector

Schools in Kinta and Kuala Kangsar Closed Due to Haze

Coat of Arms of Malaysia
Coat of Arms of Malaysia Forus33123, CC0 via Wikimedia Commons

Schools in Kinta and Kuala Kangsar districts have been closed due to unhealthy air quality levels, as reported by Utusan Online. The closure, effective immediately, affects all educational institutions under the Ministry of Education. Perak State Education Director Zulkafli Mohamed Mokhtar stated that the decision was made in response to the Air Pollution Index readings. The closure will remain in effect until further notice from the state education department.

Impact Educational institutions and public-sector operations face disruptions due to air quality issues.

Sources: utusen Online ↗

Companies

  • automotive
  • manufacturing

EPMB and Hebei Shichang Invest RM100 Million in New Facility

EP Manufacturing Berhad (EPMB) has partnered with Hebei Shichang Auto Parts Co Ltd to develop a new manufacturing facility in Malaysia, according to Kosmo!. The project, worth RM100 million, will focus on producing advanced fuel tanks for Proton vehicles. This collaboration aims to enhance local manufacturing capabilities and support the automotive sector's growth.

Impact Automotive manufacturers and suppliers in Malaysia gain from increased production capacity and investment.

Sources: Kosmo! ↗

Markets

Nothing significant reported today.

Trade

Nothing significant reported today.

Politics

Nothing significant reported today.

Also today in Malaysia

Sources in this briefing

Sources: each headline links to the original article on the publisher's site.

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