Kuala lumpur: The Ministry of Rural and Regional Development (KKDW) is aiming to secure approximately RM14.39 billion for the Second Rolling Plan (RP2) 2027 development allocation. However, the Ministry of Finance has indicated a ceiling of only RM8.3 billion, according to Minister of Rural and Regional Development Datuk Seri Dr Ahmad Zahid Hamidi, who also serves as Deputy Prime Minister. This creates a significant gap of about RM6 billion between the requested and allocated funds.
According to BERNAMA News Agency, Ahmad Zahid highlighted this discrepancy during a speech at the KKDW Monthly Assembly, underscoring the ongoing challenge in government management where demands often surpass available resources. He remarked on the limited fiscal space available this year compared to previous years, expressing hope that his projections might be overly pessimistic.
Ahmad Zahid emphasized the importance of ensuring that every ringgit spent yields maximum benefit for the public. He advocated for a "spending better" approach rather than merely increasing expenditure. He urged KKDW divisions, departments, and agencies to reassess existing programs to resolve current issues, maintain relevance, and eliminate overlaps with other initiatives.
He pointed out that large programs are not always the most effective, stressing the need to redirect resources from low-value programs to those that address pressing community issues, especially given constraints in finances, workforce, and implementation capacity.
Ahmad Zahid also cautioned that good allocations do not guarantee successful development if implementation capabilities are weak. Issues such as land acquisition delays, utility coordination problems, contractor challenges, and slow decision-making could hinder project execution, creating an implementation gap between plans and reality.
He advised against initiating too many projects simultaneously, which could spread resources too thinly and result in incomplete projects. Instead, he advocated focusing on essential projects, allocating adequate resources, and ensuring their successful completion.
Highlighting the increasing complexity of rural development challenges, Ahmad Zahid noted that undeveloped areas are often remote, sparsely populated, and involve high delivery costs. He asserted that rural development success should be measured by tangible changes rather than merely construction or spending.
To address these issues, he emphasized the need for streamlined engagement with the Ministry of Finance to clarify KKDW's priorities and ensure that allocations are directed toward impactful rural community needs. Ahmad Zahid mentioned a recent coordination session with MOF aimed at refining these priorities and proposals for further consideration.