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BUDGET 2015: All Of Najib's 7 Strategies You Should Know

Live updates from the tabling of Budget 2015 by Prime Minister Najib Razak on 10 October 2014.

By Judith Yeoh — 10 Oct 2014, 04:26 PM — Updated about 10 years ago

Cover image via New Straits Times

Budget 2015 Will Be The Last Budget Session For The 10th Malaysian Plan. The 11th Malaysian Plan Will Commence From May 2015 In Tandem With The Malaysia National Development Strategy (MyNDS).

Budget 2015 Is Broken Down To Seven Main Strategies:

Strategies for Budget 2015

Strategies for Budget 2015

Image via SAYS.com

1. STRENGTHENING THE ECONOMIC GROWTH

1. Blueprint introduced for the service sector with RM5 billion allocated for SMEs in the service sector.
2. RM10 million allocation to establish Research Incentive Scheme for Enterprises (RISE) to boost ICT and high-technology.
3. 100% tax exemption for 5 years to encourage private sectors to develop industrial areas in rural and less developed locations
4. Allowance automation modal expenditure of 200% on the first RM4 million. From 2015 - 2017.
5. High Speed Broadband in high impact economic areas will continue, covering selected towns and cities.

Infrastructural projects to begin in 2015:
1. Lebuh Raya Sungai Besi to Ulu Klang
2. Lebuh Raya Pantai Barat from Taiping to Banting
3. Lebuh Raya Damansara to Shah Alam
4. Lebuh Raya Lingkaran Luar KL to Hubungan Timur
5. Pantai-Timur Railroad upgrades
6. MRT second phase, 56 km, from Selayang to Putrajaya with RM23 billion allocated.
7. Project LRT 3rd phase, from Bandar Utama to Shah Alam to Klang will begin soon.

2. ENHANCING THE FISCAL GROWTH

1. Price increase for 354 goods and services, but GST to be less than 5.8%.
2. Individual income tax to be restructured; highest income tax rate to be reduced from 26% to 24%. Personal income tax rate to be reduced by 1% to 3%, with up to 300,000 taxpayers will be exempted from income tax.
Tax reductions for personal income tax and more

Tax reductions for personal income tax and more

Image via iMoney.my

GST Will Be Exempted From These Items Including RON95 Petrol

GST is exempted from items such as RON95 petrol, certain food items and reading materials

GST is exempted from items such as RON95 petrol, certain food items and reading materials

Image via SAYS.com

3. DEVELOPING HUMAN CAPITAL AND ENTREPRENEURSHIP

1. PTPTN Loan: 10% rebate for those who repay the loan for 12 months in a row, 20% discount for those who pay off the lump sum in one go.
2. Syllabus at higher learning institutions will now include extra-curricular activities to combat unemployability.
3. Labour laws to be revised to include benefits e.g. flexible hours to cater to an increasingly dynamic labour force.

4. ADVANCING THE BUMIPUTERA AGENDA

Education and entrepreneurship perks for Bumiputeras

Education and entrepreneurship perks for Bumiputeras

Image via iMoney.my

5. UPHOLDING WOMEN'S ROLES

1. RM2.26bil to be allocated for development of women's operations in entrepreneurship and job market.
2. The Government to introduce programmes such as 1Malaysia Support and Wanita Career Comeback to encourage housewives and professional women to participate in entrepreneurship efforts and job markets.

6. DEVELOPING THE NATIONAL YOUTH TRANSFORMATION PROGRAMME

Image from imgur.com
Image via imgur.com
3. RM320 million allocated to revitalise youth programmes, including National Service and Rakan Muda.
4. Program Latihan Khidmat Negara (PLKN) to be revised, a new concept to be developed in the future.
5. National Sports Day to be celebrated on the first Saturday of November every year.

Zooming In To The Youth Housing Scheme. Are You Eligible?

Image from iMoney.my
Image via iMoney.my

7. PRIORITISING THE RAKYAT'S WELL-BEING

1. RM1.2 billion worth of financial assistance allocated for poor families, children, senior citizens and the disabled.
2. Intercity bus service for people working in KL coming from outside KL to have discounted monthly fare of 30%.
3. Two hospitals to be built in Dungun and Seri Iskandar; 30 additional 1Malaysia clinics to be established.
4. Tax relief for cancer, kidney failure and heart attack patients up to RM6,000 from RM5,000.
6. Education sponsorship has been allocated RM3 billion in total - JPA (RM1.9b), Education Ministry (RM759m), Health Ministry (RM258m).
7. RM100 will be given to each primary and secondary school student, and BB1M remains at RM250 for students are tertiary institutions.
8. RM4.6 mil to be allocated to provide and upgrade facilities & infrastructure in rural areas.
9. Minimum eligibility for home loans increased to RM120,000 & maximum eligibility limit to RM600,000 for civil servants.
10. 50% stamp duty exemption extended for first home, purchase limit increased to RM500,000.
11. One-off grant of RM50 million to be provided to creditable NGOs.
12. To address the water crisis in Klang Valley, construction of Air Langat 2 Water Treatment Plant will be hastened (RM3 billion).
13. For employees: Employment Act 1955 to be reviewed and temporary financial aid to retrenched workers under Employment Insurance System.
14. Half-month bonus for public sector officials with minimum of RM500.
15. Allowance of MPs to be increased.

Zooming In To The Education Budget For 2015

Image from iMoney.my
Image via iMoney.my

BR1M Recipients Will Be Receiving More From The Government Including A New Family Bereavement Scheme

BR1M handouts see a significant increase from the government for 2015

BR1M handouts see a significant increase from the government for 2015

Image via iMoney.my

Allocation For Budget 2015 Is RM273.19 Bil, An Increase Of RM 9.8 Bil Compared To Last Year

According To Najib Razak, Malaysia Is Ranked The Highest Economic Growth In South East Asia

The Deficit Fiscal Has Been Trimmed From 6.7% (2009) To 3.9% (2013), And 3.5% By End Of 2014

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