Kuala lumpur: Malaysia’s equity market is anticipated to experience a mildly positive impact from Budget 2026, as there are no unexpected negative developments or new tax measures that could elevate business costs, CIMB Securities Sdn Bhd stated.

According to BERNAMA News Agency, CIMB Securities highlighted in a note released today that the budget includes several key positives. Among these are a one-off RM100 cash handout for all Malaysians aged 18 and above, scheduled for distribution in February 2026, and the continuation of the tax exemption on foreign-sourced income until 2030.

On the downside, CIMB Securities pointed out that there will be increases in excise duties on alcohol and tobacco products. Additionally, the stamp duty on property transfers involving non-citizens and foreign companies is set to rise.

Overall, CIMB Securities views Budget 2026 as favorable for the construction, technology, and consumer sectors while maintaining its KLCI target of 1,605 points. It noted that the construction and consumer sectors, classified as ‘overweight’, are expected to benefit the most, whereas the property, brewers, and tobacco sectors might face mild negatives.