World · Malaysia Bureau
Rural Development Projects Stalled Pending Finance Ministry Decision
The Deputy Minister of Rural Development said the Finance Ministry has suspended the release of Special Development Grants with no clear timeline for resumption. The decision has left numerous rural infrastructure projects in limbo.
LSN Malaysia ·
Rural development projects across the country are facing indefinite delays as the Finance Ministry maintains a freeze on the disbursement of Special Development Grants (SST), according to Deputy Minister Rubiah.
Rubiah said the Finance Ministry's decision to suspend SST payments has no specified end date, leaving stakeholders uncertain about when funding will resume. The freeze has affected numerous initiatives aimed at improving infrastructure and services in rural areas.
The delayed funding has raised concerns among local authorities and project implementers who depend on the grants to proceed with scheduled development work. The suspension comes amid broader fiscal pressures facing the national budget.
It remains unclear when the Finance Ministry will review its decision or provide clarity on the conditions required for the resumption of SST disbursements. Rural development advocates have called for urgent intervention to prevent further project delays.