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Govt disburses nearly RM20b for low-income group

30 Oct 2025, 6:51 AM
Govt disburses nearly RM20b for low-income group
Govt disburses nearly RM20b for low-income group

KUALA LUMPUR, Oct 30 — The government allocated nearly RM20 billion for various aid programmes targeting the low-income group this year, helping lower the hardcore poverty rate to just 0.09 per cent, said Prime Minister Datuk Seri Anwar Ibrahim.

He said the allocation covers initiatives, including the Rahmah Cash Contribution (STR), the Rahmah Basic Contribution (SARA), and Social Welfare Department (JKM) aid, in addition to support from state governments and state Islamic religious councils.

“From the data, the remaining 0.09 per cent represents hardcore poverty… that was the figure at the beginning of the year. Now, the cases listed have been resolved not only through efforts by the federal government but also through cooperation with state governments and state Islamic religious councils.

“Based on e-Kasih data, the number of hardcore poor households has decreased, and we have the capacity to address the remaining cases,” he said during Minister’s Question Time at the Dewan Rakyat today.

He was responding to a question from Datuk Iskandar Dzulkarnain Abdul Khalid (PN-Kuala Kangsar) about the Madani government’s progress in tackling hardcore poverty and poverty.

He said efforts to eradicate hardcore poverty require close cooperation with state governments, including in Kelantan and Kedah, to enhance tracking and coordination of aid distribution.

Meanwhile, Anwar, who is also finance minister, said that the recent increase in minimum wage from RM1,200 to RM1,500 and now RM1,700, along with a 25 to 30 per cent salary adjustment for low-income civil servants, are part of broader initiatives to reduce relative poverty and narrow income disparities.

“These lower-category civil servants fall within the poor category, though not classified as hardcore poor. By raising their salaries by 25 to 30 per cent, we aim to lessen the disparity. That’s the effort we are pursuing.

“I hope further improvements can be made once the economic situation becomes more favourable,” he said.

Responding to a supplementary question from Iskandar about the SARA RM100 aid for rural consumers and their access to shop at small shops, Anwar said more than 80 per cent of recipients have redeemed the aid so far.

He added that more than 2,000 small rural shops now accept transactions under the programme, compared with only about 180 when the initiative was first launched.

“The increase clearly shows the programme’s implementation has not only eased the people’s affairs but also boosted local economic activities,” he said.

Responding to a supplementary question from Roy Angau Gingkoi (GPS-Lubok Antu) on poverty reduction efforts in Sabah and Sarawak, Anwar said the government continues to prioritise low-income states and the interior regions through programmes such as STR and SARA, which record the highest distributions in states including Sabah, Sarawak, Terengganu, Kelantan and Kedah.

He added that aid distribution methods in longhouse areas are being adapted to local community structures to ensure recipients benefit effectively.

Answering a supplementary question from Abdul Latiff Abdul Rahman (PN-Kuala Krai) regarding new indicators for measuring poverty and the use of the PADU database, Anwar said the government is coordinating the MyKad database with allocation records from federal, state, zakat and other aid agencies to avoid duplication and ensure the aid reaches deserving groups.

“Apart from cash aid, we are intensifying programmes such as Amanah Ikhtiar Malaysia and TEKUN so families can generate a stable income and not return to poverty,” Anwar said.

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