Budget 2027: Sabah Residents Want Cost Of Living Eased, MSMEs Empowered

By Syed Iylia Harizal

KOTA KINABALU, Sept 4 (Bernama) --  Easing the cost-of-living pressures and expanding support for micro, small and medium enterprises (MSMEs) are among the expectations of the people in Sabah for Budget 2027, which is scheduled to be tabled in parliament on Oct 9.

For them, the budget should have a direct impact on their daily lives as the rising prices of goods and cost of doing business continue to be felt, particularly by middle- and lower-income groups.

Sabah Chamber of Commerce and Industry president Awil Kamsari said Budget 2027 should consider establishing a one-stop centre to help MSMEs address issues related to halal certification, packaging, branding and production capacity. He said these challenges, coupled with high premises rental costs, are among the factors making it difficult for small businesses in Sabah to expand and penetrate wider markets.

“I hope Budget 2027 can provide specific initiatives for MSMEs, including the establishment of a one-stop centre to help entrepreneurs address issues concerning halal certification, packaging and production capacity,” he told Bernama.

Awil said the Sabah Agriculture Industrial Park (SAIP) in Kimanis could also be leveraged as a platform to help MSMEs increase their production and product packaging capacity. He added that the facility could be further strengthened through an original equipment manufacturer (OEM) production model and collaboration with government-linked companies (GLCs), which could play a role as manufacturers and distributors.

He expressed hope that Budget 2027 would offer better tax incentives to MSMEs, including reductions or exemptions on import duties for certain materials required for production.

Meanwhile, small trader Dayang Hedzriyanie Mohamad Adnan, 39, wishes that efforts to address the cost of living would be among the government’s key priorities in this budget.

She said the cost-of-living pressures are more pronounced in Sabah due to geographical factors, distance and long distribution chains, particularly for goods that need to be transported to inland and rural areas. “I hope the government can focus more on reducing the cost of living to ease the burden, as the prices of goods and essential items are very high at present,” she added.

Tuition centre owner Muhd Nasri Maarof, 35, hopes the government will focus on financing facilities, business training and licensing processes for small and medium-sized enterprises. He said support in the form of courses and streamlined licence application processes could help traders manage and expand their businesses in a more organised manner. “My hope is that the government will provide easier access to loans for small and medium-sized traders, offer appropriate courses to traders and simplify the process of applying for licences, particularly with local and federal authorities,” he added.

Sublimation printing entrepreneur Rozali Roslih, 45, wishes Budget 2027 would provide loan schemes and grants with requirements that are easier for micro and small enterprises to meet. He said assistance to reduce operating costs, such as premises rental, electricity bills and equipment purchases, was also important, particularly for entrepreneurs who are still in the process of expanding their businesses.

“My hope is for easier access to business capital, in the form of loans and grants with requirements that are not too burdensome, especially for micro and small businesses. There should also be assistance to reduce operating costs, including support for premises rental, electricity bills, equipment and digitalisation costs,” he added. 

-- BERNAMA