The 2027 budget needs to boost investment and high-paying jobs.

MIRI, 7 Oct: Budget 2027 should prioritize high-potential sectors such as technology, digital and energy to attract more quality investments and create high-paying jobs for the people.

Chief Economist of Muamalat Bank Malaysia Bhd, Dr Mohd Afzanizam Abdul Rashid said that among the sectors to be given due attention include electricity and electronics (E&E), artificial intelligence (AI), digital economy, renewable energy, electric vehicles (EV) and agrofood.

"For me, the sectoral focus in this Budget 2027 will still be on sectors that produce high growth and value.

"It's the sector of electricity and electronics, AI, digital economy and renewable energy. In addition, the automotive sector in particular electric vehicles and agrofood should also be given attention", he said in an interview with TVS today.

In addition, the sector is also important in addressing global economic challenges, especially with regard to energy and food security.

Afzanizam said AI, digitalisation and automation could be a productivity driver if its use in the business sector is supported by financing as well as skills upgrades.

He said that among the forms of support to be considered are matching grants, subsidies and access to microfinance to help micro, small and medium enterprises (SMEs) implement digital transformation.

"Financial assistance to the PMKS sector in promoting AI adaptation is essential. However, we can't focus too much on access to finance alone without seeing the results of using AI.

"We need to measure the effectiveness of AI use and how it can be translated into increased productivity and employee income", he added.

Afzanizam expects Budget 2027 to also address the challenges facing the business and household sectors, including efforts to reduce bureaucratic redundancy.

"The large allocations are important, but smooth implementation is equally important to ensure the country's economic growth can be achieved more harmoniously", he said.

Budget 2027 is scheduled to be presented by the Prime Minister who is also Finance Minister, Datuk Seri Anwar Ibrahim at 3.30pm on October 9.