Budget 2026 Strengthens Malaysia's Healthcare System Through MADANI Reforms - MOH

PUTRAJAYA, Oct 11 (Bernama) – The 2026 Budget continues to strengthen Malaysia’s healthcare system through comprehensive reforms based on MADANI principles, aiming to ensure all citizens have access to high-quality healthcare and equitable treatment, said the Ministry of Health Malaysia (MOH).

This will enable the MOH to further enhance the healthcare system in line with the MADANI government's vision.

In a statement, the MOH highlighted that the 2026 Budget focuses on key initiatives to improve the healthcare system and increase benefits for citizens nationwide.

"For the coming year, the MOH has been allocated RM46.52 billion, reflecting a 2.76 per cent increase from RM45.27 billion in 2025. Of this, RM39.78 billion is for operational expenses, while RM6.745 billion is earmarked for development expenditure.

"This increase marks the start of Rolling Plan 1 under the 13th Malaysia Plan (13MP), ensuring that existing healthcare facilities operate optimally, while new projects that directly benefit the public will be launched," the statement read.

The ministry’s allocation represents 11.04 per cent of the total Federal Budget for 2026, which stands at RM421.2 billion.

Key initiatives include enhancing the welfare of healthcare workers, with 4,500 contract doctors and 935 nurses set to be offered permanent positions next year.

To further support healthcare staff, the government will raise the On-Call Allowance by up to 40 per cent, effective from Oct 1, 2025, with an annual allocation of RM120 million.

Consultation fees for private medical practitioners will also be adjusted, ranging from RM10 to RM80. Furthermore, nearly RM2.2 billion will be allocated for the construction, maintenance, and repair of quarters for civil servants, including doctors, nurses, military personnel, police officers, teachers, firefighters, and prison officers.

To enhance public healthcare infrastructure, RM1.2 billion has been allocated for the maintenance and repairs of hospitals and clinics nationwide. Additionally, RM100 million will be used to upgrade district hospital wards, while RM755 million will be allocated for replacing and procuring new medical equipment.

To ease congestion in public hospitals, RM140 million will be allocated to continue outsourcing patients to military, university, and private hospitals. An additional RM30 million will strengthen the role of health clinics that provide specialist services to local communities.

Two new facilities will also be developed: the Northern Region Cancer Centre in Kedah and the Sabah Heart Centre.

To address medical inflation, the government has allocated RM60 million to collaborate with the industry in introducing affordable basic insurance products and implementing the Diagnosis-Related Group system.

The mySalam scheme will continue to assist low-income citizens, while contributors to the Employees Provident Fund (EPF) will be able to use their Sejahtera Account savings to purchase basic health insurance plans.

As part of the Malaysia Sihat national agenda, the government will raise excise duties on tobacco and alcohol starting Nov 1, 2025. It will also extend the tax exemption on nicotine replacement therapy products until Dec 31, 2027, and expand income tax relief for individuals’ vaccination expenses for all approved and registered vaccines.

Revenue from the increased excise duties will be allocated to the MOH to fund initiatives targeting lung health, diabetes, and heart disease treatments.

The MOH reaffirms its commitment to responsibly implementing the government's health policies, ensuring that all citizens have access to high-quality, fair, and comprehensive healthcare, in line with the MADANI government’s goal of promoting citizens' well-being through health.

-- BERNAMA