2026 Budget: TVET allocation increases to RM7.9 billion

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Finance Minister and Prime Minister Datuk Seri Anwar Ibrahim tabling the 2026 Budget at the Dewan Rakyat, today. - Photo by Bernama

The increase, from RM7.5 billion this year, is aimed at training more local talent to meet the demands of high-growth industries and to support high-priority sectors.

KUALA LUMPUR - Prime Minister Datuk Seri Anwar Ibrahim today announced an allocation of RM7.9 billion for Technical and Vocational Education and Training (TVET), under Budget 2026.

He said that the increase, from RM7.5 billion this year, is aimed at training more local talent to meet the demands of high-growth industries, and to support high-priority sectors.

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He added that the Ministry of Education’s (MOE) TVET institutions will be allocated RM1.3 billion to educate 79,000 students, while the Human Resource Development Corporation (HRD Corp), with RM3 billion in funds, will offer three million training opportunities, particularly in the high-tech, digital and energy transition sectors.

"The National TVET Council will further strengthen the TVET ecosystem in a more comprehensive manner, including through a proposal to draft the TVET Bill,” he said when tabling Budget 2026 at the Dewan Rakyat, here, today.

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Anwar, who is also the Minister of Finance, said that the National TVET Council will receive RM45 million to equip 10,000 tahfiz and pondok students with digital technology and artificial intelligence (AI) skills, through the IPT@Komuniti initiative.

Anwar said that the Skills Development Fund Corporation (PTPK) will be allocated RM650 million in funding to benefit more than 25,000 trainees, particularly in fields under the New Industrial Master Plan (NIMP), such as AI, electric vehicles (EV) and semiconductors.

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He added that the Department of Skills Development, through the Academy in Industry, will also train and provide career opportunities aimed at reducing reliance on low-skilled foreign workers, with an allocation of RM34 million.

"GiatMARA will provide training opportunities for more than 13,000 participants, including gig workers. Meanwhile, community colleges will offer lifelong learning programmes for vulnerable groups, such as persons with disabilities (PwDs), the elderly, single mothers and the Orang Asli,” he said.

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The Prime Minister also announced the construction of a new vocational college in Sabah, and the upgrading of TVET institutional facilities nationwide.

This includes the construction of a new hangar at the Shah Alam Advanced Technology Training Centre (ADTEC) for aircraft maintenance, and the establishment of a TVET marine teaching shipyard complex at Universiti Malaysia Terengganu (UMT) to support maritime training and the development of the blue economy. - BERNAMA