Welfare spending won’t bankrupt govt, corruption will: Anwar

KUALA LUMPUR — Spending on aid for the poor and on various assistance programmes will not cause the government to go bankrupt, but corruption and misconduct by leaders could, said Prime Minister Datuk Seri Anwar Ibrahim. Graft and such misconduct, as well as financial leakages, are the real threats to the country’s economy, Anwar said in Kota Baru, Kelantan, today. He said providing assistance to low-income groups was the government's responsibility to ensure that the benefits of national development were shared more widely among the people. Anwar cited the government's allocation of RM16 billion this year for the Sumbangan Asas Rahmah (SARA) and Sumbangan Tunai Rahmah (STR) assistance programmes, alongside increases in civil servants' salaries and the minimum wage, as measures aimed at improving the people's well-being. "No country or government has ever become poor simply by helping the poor," Bernama reported him saying when launching the Kelantan Entrepreneur Revival Scheme. A country's economy could suffer if public wealth was exploited to serve the interests of certain groups, particularly through corruption and greed in the administration, Anwar added. As such, he said the government must continue to maintain sound financial management and good governance while implementing assistance and subsidy programmes for those in need. Anwar, who is also Finance Minister, today announced a RM200 million grant to strengthen the capacity of small-scale entrepreneurs from low-income groups. "The scheme provides financial support to small-scale entrepreneurs looking to expand their businesses. So far, more than 4,000 applications have been received from B40 entrepreneurs, with 446 approved," he said. Anwar added that the federal government is also supporting women entrepreneurs in Kelantan through various initiatives for greater opportunities to expand their businesses. He said women in Kelantan had a strong track record and extensive experience in business, particularly through selling goods at markets, which demonstrated their determination to earn a living. Their business acumen was also seen in Amanah Ikhtiar Malaysia's nearly 99 per cent loan repayment rate, he added. "That is why I have instructed the Implementation Coordination Unit (ICU) in Kelantan to prioritise assistance programmes for women," he said. Kelantan Menteri Besar Datuk Mohd Nassuruddin Daud was also present. - October 31, 2026 The post Welfare spending won’t bankrupt govt, corruption will: Anwar appeared first on Scoop .