Selangor‘s 2026 budget allocates RM1.86 billion for operating expenditure and RM1.37 billion for development, focusing on social protection amid economic challenges
SHAH ALAM: The Selangor government has tabled its 2026 budget totalling RM3.23 billion.
Menteri Besar Datuk Seri Amirudin Shari announced that RM1.86 billion, or 57.6%, is allocated for operating expenditure.
Development expenditure receives RM1.37 billion, representing 42.4% of the total budget.
Service and supply expenditure forms the largest operating component at 39.8%.
This allocation covers phase two of the Public Service Remuneration System implementation.
It also accommodates higher contract values following the RM1,700 monthly minimum wage policy.
The development expenditure represents a RM70 million increase from the 2025 budget.
Amirudin stated this increase focuses heavily on the social sector.
The social sector allocation rises to RM360 million, approximately 30% of development spending.
“This prepares for potential challenges including the forecast global economic slowdown,” he said.
The allocation aims to improve social protection systems for welfare and education.
It will also strengthen the economic position of targeted groups.
State revenue for 2026 is projected at RM2.8 billion.
Land premiums are expected to be the main revenue contributor at RM1.02 billion.
Land tax revenue follows as the second-largest source at RM691.27 million.
Federal government grants are projected at RM263.16 million.
The budget anticipates a deficit of RM430 million for 2026.
Amirudin tabled the budget at the State Legislative Assembly today. – Bernama
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