2025 Budget: RM2 billion allocated for school upgrades, maintenance

KUALA LUMPUR - Finance Minister Datuk Seri Anwar Ibrahim announced an allocation of RM2 billion for upgrading and maintaining schools nationwide when presenting Budget 2025 in the Dewan Rakyat today.

Of this, RM1 billion will be dedicated specifically to the maintenance of various school types, including national, Chinese, Tamil, religious schools, military camp schools and special education institutions for persons with disabilities (PwD), he said.

The remaining RM1 billion will focus on upgrading inadequate infrastructure in 543 schools, particularly in Sabah and Sarawak.

"The Education Ministry has been allocated RM64.1 billion, marking the highest budget in history.

"My priority remains to ensure a comfortable, safe and meaningful learning environment for our children," he said, while also announcing the construction of 44 new schools beginning next year.

To enhance internet access in rural and remote schools, Anwar said the government will implement a fixed broadband connectivity programme, allocating RM100 million for this initiative.

The existing Point of Presence (POP) projects will also continue, with over RM800 million earmarked for improvement, he added.

"Alhamdulillah, thanks to everyone's efforts, we have successfully repaired toilets in over 8,300 schools in a short timeframe. Our next focus will be to improve other facilities, such as canteens and prayer rooms, with an allocation of RM100 million," he said.

Anwar further noted that next year, 17 types of educational assistance will be available, supported by an allocation of RM5.3 billion.

This will include hostel food assistance (RM2 billion), supplementary food programme (RM870 million), early schooling aid (almost RM800 million), and the poor students trust fund (RM180 million).

To improve educational access for students from low-income families, Anwar announced that the government will allow salary or wage payments to educators by institutions and organisations, with educational objectives approved under subsection 44(6) of the Income Tax Act 1967 to be considered as welfare expenses.

He said the per capita grant (PCG) rate for Technical and Vocational Education and Training (TVET) will be increased by 15 per cent, bringing the total PCG allocation to over RM900 million.

"Since 2002, the PCG rate for TVET has not been reviewed. The PCG is the main source of financing for schools, and the old rate no longer adequately covers the rising costs of education.

"Schools with fewer students in rural areas also rely on the same PCG method, meaning fewer students lead to less funding," he said. - BERNAMA