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An estimated 200,000 more small and medium enterprises (SMEs) are set to be exempted from e-invoicing after the government announced that the exemption threshold will be increased to RM1 million in annual revenue, starting in 2026. In a statement on Sunday, the Small and Medium Enterprises Association Malaysia (Samenta) said the higher threshold is a timely move that shows the government understands the real challenges faced by micro and small businesses, many of whom continue to struggle with increased costs and limited resources. Samenta national president Datuk William Ng explained that a large number of SMEs that now fall under the expanded exemption category are businesses operating with very tight margins and limited capacity to adopt new digital systems such as e-invoicing. “For these businesses, the government’s decision provides much-needed breathing room,” he said. “They are already dealing with rising operating costs, uncertainties in tariffs, stronger competition from foreign online sellers, and new compliance requirements. The exemption gives them time to stabilise, plan ahead, and make improvements gradually instead of rushing into digital processes they are not ready for.” Ng added that while the exemption eases pressure on smaller companies, it also supports Malaysia’s broader digitalisation agenda by ensuring that e-invoicing adoption progresses in a way that is practical, realistic, and considerate of different business capabilities across the SME sector. He reminded SMEs not to treat the exemption as a reason to delay technological upgrades entirely. “SMEs should use this extra time to tidy up their accounting processes, organise their financial records, and slowly adopt digital tools where possible,” he said. “Early preparation will not only make future e-invoicing compliance smoother but also help improve efficiency, cash-flow management and competitiveness.” Ng emphasised that the exemption window should be seen as an opportunity for businesses to strengthen their foundations and gradually transition into digital systems, rather than postponing change indefinitely.

Sarawak has channelled RM21.8 billion through its Alternative Funding (AF) initiative to accelerate key infrastructure projects across the state, said Second Minister for Finance and New Economy Datuk Amar Douglas Uggah Embas on Wednesday. He explained that the AF model was introduced to ensure important development projects can move forward without delays, allowing the state to fast-track critical infrastructure while maintaining strong financial stability. “So far, a total of 1,586 projects have been implemented under AF. Of these, 1,127 projects — or 71% — have been completed, while the remaining 459 are progressing at various stages,” he said during his winding-up speech for the State Budget 2026 debate at the Sarawak State Legislative Assembly. Uggah, who is also the deputy premier, said the AF mechanism has played a major role in transforming Sarawak’s physical and economic landscape as the state works towards high-income status under the Post-Covid Development Strategy (PCDS) 2030. Major AF-funded developments include the coastal road network, the second trunk road, the Sarawak Water Supply Grid (stressed areas), rural electrification programmes, and digital infrastructure projects such as the Sarawak Multimedia Authority Rural Telecommunication (SMART) towers and the Sarawak Rural Broadband Network. He added that AF also supports the development of educational facilities, such as Sarawak’s international schools, as well as projects undertaken by regional development agencies including the Upper Rajang Development Agency (URDA), Highland Development Agency (HDA), Northern Regional Development Agency (NRDA), and the Integrated Regional Samarahan Development Agency (IRSDA).

Tengku Datuk Seri Zafrul Abdul Aziz, former Minister of Investment, Trade and Industry (Miti), has been appointed as the new chairman of the Malaysian Investment Development Authority (Mida), effective Wednesday, the Prime Minister’s Office (PMO) announced. He will serve a two-year term, with additional responsibilities to be revealed at a later date. The Mida chairmanship had been vacant for over a year following the end of Tan Sri Dr Sulaiman Mahbob’s term in September 2024. Zafrul, a former banker turned government minister, first joined the administration in March 2020 as finance minister under the Perikatan Nasional government, continuing in the role under the Barisan Nasional-led administration until November 2022. Following the 15th general election, he was appointed a senator and Miti minister under Prime Minister Datuk Seri Anwar Ibrahim’s unity government, serving until Dec 2, 2025. Mida described Zafrul’s appointment as a strategic move to strengthen Malaysia’s investment promotion and development capabilities amid intensifying global competition. The agency highlighted his expertise in financial services, trade negotiations, government policy, and investment facilitation. During his tenure as Miti minister, Zafrul oversaw record-breaking investment inflows, with RM329.5 billion approved in 2023 and RM378.5 billion in 2024. In the first nine months of 2025, approved investments reached RM285.2 billion, a 13.2% increase compared with the same period last year, despite global economic challenges. “His appointment ensures continuity in our strategic direction while bringing fresh momentum to our operational priorities,” said Mida CEO Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid. “We are confident that his leadership will further enhance Malaysia’s position as a premier investment hub.”

Bank Negara Malaysia (BNM) has developed a long-term strategy to gradually reduce its ownership stake in Payments Network Malaysia Sdn Bhd (PayNet), the country’s primary payment infrastructure provider. The plan, confirmed by the Ministry of Finance (MOF), is aimed at fostering greater market competitiveness while ensuring that PayNet continues to play a central role in strengthening Malaysia’s digital payment ecosystem. According to the MOF, BNM’s move to pare down its shareholding aligns with the central bank’s broader objective of promoting a more dynamic, inclusive, and innovation-driven payments landscape. While the shareholding reduction will be phased over time, the ministry emphasised that it will not compromise the stability, security, or efficiency of the national payment system. The plan is structured to maintain a balance between encouraging private-sector participation and safeguarding public trust in the country’s financial infrastructure. In a written reply to the Dewan Rakyat on Wednesday, responding to a question by Aminolhuda Hassan (PH–Sri Gading) regarding the government’s review of BNM’s ownership in PayNet, the MOF highlighted that BNM currently holds a 35.5% stake in the company. As the largest shareholder, BNM continues to provide strategic direction and oversight, ensuring that PayNet delivers reliable, secure, and competitive digital payment services for both individuals and businesses. The ministry also noted that BNM’s phased reduction plan will be implemented with careful monitoring and governance, maintaining the resilience of the payment system while enabling greater private-sector participation and competition. This approach is expected to enhance the efficiency and inclusivity of digital payments in Malaysia, supporting the country’s broader economic and financial digitalisation goals. In summary, BNM’s measured plan to gradually reduce its stake in PayNet reflects a strategic effort to foster competition, innovation, and sustainability within Malaysia’s payment ecosystem, while ensuring that national payment infrastructure remains robust, secure, and accessible for all users.