Kota Kinabalu: Liberal Democratic Party (LDP) President Datuk Chin Su Phin (pic) has commended Budget 2027 as a balanced and pragmatic package that addresses income growth, middle-class tax relief, enterprise assistance, and development needs in Sabah.
Chin welcomed the staged increase of the national minimum wage to RM2,000 beginning June 2027, highlighting the exemption for micro, small, and medium enterprises (MSMEs) earning under RM50 million as crucial protection for smaller employers.
He also backed the new RM2,500 monthly wage floor for semi-skilled personnel and graduates, alongside higher government-linked living wage benchmarks, as essential moves to align earnings with workforce productivity and education.
Middle-income taxpayers, Chin noted, will benefit meaningfully from the one-percentage-point personal income tax reduction, the increase in basic tax relief to RM12,000, and lower MSME corporate rates that ease broad living and operating pressures.
Direct household support schemes like STR and SARA remain vital, he added, stressing that public confidence in the economy rests on whether headline fiscal growth translates into manageable day-to-day household living costs.
Turning to Sabah, Chin welcomed the higher federal development allocation of RM18.7 billion for 2027 to address long-standing basic infrastructure deficits, including roads, water supply, electricity, healthcare, and schools.
He reiterated that Sabah’s constitutional guarantees under the Malaysia Agreement 1963 (MA63) must remain focused on practical solutions, serious negotiations, and prompt delivery rather than political posturing.
Chin emphasised that the ultimate success of the Budget will depend on resolving administrative delays and poor coordination between federal and state implementing agencies so that approved allocations translate into tangible projects without delay.
