Budget 2026 To Have Mildly Positive Impact On Equity Market - CIMB Securities

KUALA LUMPUR, Oct 12 (Bernama) -- Malaysia’s equity market is expected to react mildly positively to Budget 2026, given the absence of negative surprises or new tax measures that could increase business costs, according to CIMB Securities Sdn Bhd.

In a note released today, CIMB Securities said that key positives from Budget 2026 include a one-off RM100 cash handout for all Malaysians aged 18 and above in February 2026 and the extension of the tax exemption on foreign-sourced income until 2030. 

On the downside, it noted that the excise duties on alcohol and tobacco products will be raised.

"At the same time, stamp duty on property transfers involving non-citizens and foreign companies will also increase," it said.

Overall, CIMB Securities viewed Budget 2026 as positive for the construction, technology, and consumer sectors while maintaining its KLCI target of 1,605 points.

“Among our ‘overweight’ sectors, the construction and consumer sectors are expected to benefit the most, while the property, brewers, and tobacco sectors may see mild negatives,” it added.

-- BERNAMA