KUALA LUMPUR (Oct 9): The federal government has made provisions for the 16th General Election (GE16) under Budget 2027, amid growing speculation that polls could be called well before the current administration's term concludes at the end of 2027.
Spending on election preparations is among factors contributing to an 8.2% increase in the allocation for supplies and services to RM45.05 billion from RM41.63 billion for 2026, the Ministry of Finance's (MOF) latest Fiscal Outlook and Federal Government Revenue Estimates report showed, though the exact sum set aside for GE16 was not specified.
The allocation is also higher compared to 2025 — when the government set aside RM42.17 billion for supplies and services, partly due to higher professional services and contractual costs following the implementation of the new minimum wage policy. Spending at the time was also driven by one-off allocations for Malaysia's Asean chairmanship and tourism promotions ahead of Visit Malaysia 2026.
Apart from election preparations, the increased allocation for 2027 is to cover spending for the continuation of Visit Malaysia 2026-2027, as well as preparations for the 34th SEA Games that is scheduled to take place between Sept 18 and Sept 29, 2027.
The amount will also cover operational requirements such as maintenance and repairs, raw materials, rental and utilities.
The entire allocation for supplies and services accounts for 12% of the RM376.8 billion operating expenditure (opex) budget for 2027.
The current administration led by Prime Minister Datuk Seri Anwar Ibrahim is set to conclude its term by December 2027, which will mark five years after the 15th Parliament first convened in December 2022, following the general election held on Nov 19 of the previous year.
Parliament will automatically dissolve if the prime minister does not call for an early election. A general election must then be held within 60 days of the dissolution.
This means GE16 must take place by February 2028, unless an earlier dissolution paves the way for snap polls.