MOE works allocation raised to RM900m from RM400m, says PM

“IPOH, May 16 — The government has increased the allocation for works procurement under the Ministry of Education (MOE) from RM400 million to RM900 million, said Prime Minister Datuk Seri Anwar Ibrahim. He said the increase is, among others, to fund the construction of additional classrooms in preparation for the rise in Year One enrolment starting next year. “…I previously announced an allocation of RM400 million for the construction of 2,500 additional classrooms in more than 800 schools under Budget 2026. So, to ensure sufficient classroom space for Year One pupils, the government has approved additional funding. “So I am announcing that the government has approved an additional allocation, from the RM400 million previously announced to RM900 million for 6,000 classrooms,” he said in his speech at a meeting with Bumiputera small contractors at the Perak State Education Complex here today. Also present were Perak Menteri Besar Datuk Seri Saarani Mohamad, Education Minister Fadhlina Sidek, and Deputy Education Minister Wong Kah Woh. Meanwhile, Anwar said the government remains committed to supporting Bumiputera small contractors, with works procurement allocations being realigned in response to the global supply crisis. “In Budget 2026, RM2.4 billion was allocated specifically for small contractors in the G1 to G4 categories. This has been increased to RM4 billion for 2026 through a reallocation of government funds,” he said. He also gave an assurance that small contractors with good performance will continue to be awarded projects to enable them to grow further. “However, I ask for an assurance from these small contractors that they will deliver and implement the projects to the best of their ability. “I can only say that if performance is good, in line with the expected performance targets, I will give greater focus to help you so that you do not remain small contractors forever,” he said. The Prime Minister also said that despite the global supply crisis, spending on essential and critical sectors would not be reduced, and would instead be considered for increases based on needs, including in the education sector. “First of all, I want to say that when we reduce expenditure, some say we are not prioritising welfare and health. Do not be quick to judge before knowing the facts. “Let me explain, these allocations are always distributed…these additional projects are not being cut; they are being prioritised where necessary,” he said. At the event, Anwar presented 100 letters of acceptance to contractors for the construction of additional classrooms. — Bernama

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