KUCHING: Budget 2026 has placed ageing at the centre of national planning through a long-term framework, expanded welfare, and care training, as Malaysia moves toward becoming a super-aged society by 2056.
Swinburne University of Technology Sarawak’s lecturer, Dr Nivakan Sritharan, said the introduction of the National Ageing Framework 2025-2045 marks the country’s first coordinated strategy to manage the demographic shift.
“This framework provides policy coherence and structure, something Malaysia has lacked in its approach to ageing.
“It is a strong signal that ageing is now being treated as a national development issue, not just a welfare concern,” he told Sarawak Tribune.
He pointed out that under the budget, RM1.26 billion is allocated for elderly welfare, benefiting 180,000 senior citizens through cash assistance, socio-economic support and activity centres.
“Another RM5 million is set aside to train professional caregivers through TVET programmes to meet the shortage of skilled workers in elder care.”
Nivakan said the government’s plan to develop national standards for elder care was an important step to professionalise the sector.
“This can elevate care work from informal labour to a recognised profession, improving both service quality and employment prospects,” he said.
He also welcomed the RM300-million commitment by the Retirement Fund (KWAP) to develop independent senior housing on Baitulmal land in Kepala Batas, Penang, with similar projects being evaluated nationwide.
“Such housing provides low-income elderly citizens with a dignified living option, which is a meaningful shift in policy,” he said.
He said companies that sponsor care-worker training will qualify for double tax deductions, a measure aimed at encouraging private participation and greater investment in elder-care services.
Despite these promising measures, he said several deep-rooted issues remain unaddressed.
“Financial insecurity among retirees continues to loom large. Most Employees’ Provident Fund (EPF) members aged 54 have savings well below the recommended RM390,000 needed for a basic retirement,” he said.
He added that while the budget provides short-term relief, Malaysia must strengthen its pension system and expand social protection for informal sector workers.
He said the lack of dedicated allocations for geriatric services remains a major weakness.
“We are facing a growing tide of non-communicable diseases such as diabetes and hypertension among older adults, yet the shortage of geriatric specialists and age-specific healthcare infrastructure persists,” he said.
Nivakan also highlighted social isolation and loneliness among seniors due to smaller households and fewer multigenerational homes.
He said while Budget 2026 advances healthcare and digital transformation, it should also introduce community-based programmes, mental-health support, and digital-literacy training for older adults.
He noted that elder abuse and financial scams are rising, but the budget lacks legal safeguards or awareness measures to protect vulnerable seniors.
“Elder care facilities are still concentrated in urban centres, leaving rural and semi-urban communities underserved,” he said.
He added that gender disparities in ageing persist, with older women more likely to face poverty because of lower lifetime earnings and unpaid caregiving roles.
He said the absence of age-friendly infrastructure such as accessible walkways, transport and buildings further limits mobility and independence for the elderly.
“Budget 2026 lays a solid foundation through strategic planning and targeted welfare, but without deeper reforms in healthcare, pensions and elder protection, Malaysia’s long-term readiness remains uncertain,” he said.
He urged a whole-of-society approach involving civil society, the private sector and local communities.
“Malaysia must act now to ensure ageing becomes a story of dignity, participation and shared progress, not neglect.”
