December 5, 2023

New Malaysia Times

Blog News Impose Expose

Government aims to eliminate hardcore poverty by 2025


KUALA LUMPUR, Sept 27  — The government aims to eliminate hardcore poverty by 2025 by focusing on 2.9 million B40 households with monthly incomes below RM4,850 in the 12th Malaysia Plan (12MP). 

According to the 12MP document issued by Economic Planning Unit today, special attention will be given to the poorest districts and locations in urban and rural areas in order to eradicate poverty and narrow household inequality. 

In addressing poverty and building an inclusive society, the government outlined six priority areas namely Addressing Poverty and Narrowing Inequality from a Multidimensional Perspective; Empowering B40; Supporting the M40 Towards Equitable Society; Achieving an Equitable Outcome for Bumiputera; Enhancing Development of Orang Asli Community, and Empowering Specific Target Groups.

Among the strategies for Addressing Poverty and Narrowing Inequality from a Multidimensional Perspective are increasing the income of the poor and addressing the quality of life of the urban poor.


Through the strategies, a total of 50,000 poor households will benefit from the continuation of the housing assistance program aimed at repairing dilapidated houses while an additional 500,000 affordable houses will be constructed to provide quality and decent housing for the group.

During the 11MP, the country recorded an increase in the mean monthly income of B40 households from RM2,848 in 2016 to RM3,152 in 2019, however, the overall Gini coefficient increased to 0.407 from 0.399 reflecting a widening income inequality gap.

According to the document, the Multidimensional Poverty Index (MPI) which measures poverty based on four dimensions namely income, education, health and living standards improved from 0.015 in 2016 to 0.011 in 2019.

Besides, the 12MP also focuses on M40 as one of the priority areas to create a just society by outlining four strategies, namely boosting income, improving access to quality and affordable education, encouraging health and employment protection and increasing housing ownership.

The document states that in line with Shared Prosperity Vision 2030 (WKB2030), concerted efforts will be made in support of the commitment to make Malaysia a developed and prosperous country with fair and equitable distribution of wealth.

In the document, six strategies were also formulated to empower specific target groups, namely children, youth, women, the elderly and the Disabled (OKU) and families.