Radzi Jidin (PN-Putrajaya) said as the reliance on revenue from the petroleum income tax (Pita) and dividends from Petronas remained high, the government needed to provide a clear strategy for alternative means to increase its revenue base.

He said the government must also explain the amount of funds that had been recategorised from operating expenditure to development expenditure.

“In the context of government spending, almost 60% of operating expenditure has been locked in. This includes amortisation payments, pensions and interest payments on debts, which must be determined beforehand.

“When operating expenditure is transferred to development expenditure, the amount of funds for development that can be used for new infrastructure projects will be very limited,” he said when debating the supply bill in the Dewan Rakyat today.

Radzi called on the government to explain what subsidies and public aid had been cut in Budget 2023, saying the allocations for such provisions had been reduced “significantly”.

“If we look at the amount allocated for subsidies and public aid for 2023, it’s RM64 billion compared to around RM80 billion in 2022.”

“The reduction of subsidies and public aid without careful consideration will have a big impact on the people,” he said.

He said the government appeared to have no clear strategy for uplifting the economy, and that its approach sent the wrong message to the public, civil servants, investors and industry players.

“The hope of the people, economists, market analysts and academics was to see a clear direction and proposed structural changes to the economy but unfortunately, there was no wow factor in the budget,” he said.