How the vote unfolded
Lawmakers approved the budget at the policy stage on Thursday, moving it into a deeper debate phase before a final vote. Had it failed, Anwar might have been compelled to either step down or dissolve parliament, paving the way for a snap election.
The political deal
Before the vote, Anwar said on social media that multiple opposition parties and independents, including Parti Pribumi Bersatu Malaysia, signed on to support the plan after striking an agreement with the government that included constituency development funds. Bersatu added in its own post that the pact also tied support to institutional changes, among them a maximum of 10 years or two terms for a prime minister and a formal split between the attorney general and public prosecutor.
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What's next and why it matters
Anwar's package lifts wages and broadens tax relief while aiming to ease living costs, all as he tries to spur faster growth without blowing out deficits. The bottom line: the budget's progress keeps fiscal plans on track for now and avoids the immediate risk of a snap vote that a defeat could have triggered. Anwar, 79 and in his first term as premier, whose Pakatan Harapan coalition has stumbled in recent state contests, may move to hold nationwide elections in the latter half of next year, before the February 2028 cutoff.
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