How Local Smes Are Using AI to Cut Costs and Speed up Work

With Prime Minister Datuk Seri Anwar Ibrahim set to present Budget 2027 soon, small and medium enterprises (SMEs) are waiting to see how the government will help them handle rising costs and economic uncertainty .

Making it easier to do business

The Ministry of Entrepreneur and Cooperatives Development (KUSKOP) has made it clear: their main goal for this budget is to lower the cost of running a business .

Minister Steven Sim Chee Keong says it's not just about giving out more money. The government wants to make sure existing support programs actually work better and reach the people who need them most . They are also looking at updating the official definition of an "SME" and creating better rules to stop late payments, which will help business owners keep their cash flow healthy .

Help to stay afloat and grow

Economists believe Budget 2027 will include specific incentives to help SMEs deal with inflation and supply chain issues . Because SMEs are often hit hard by rising transport and shipping costs, having enough working capital is more important than ever .

Industry leaders are also pushing for aid that rewards growth. Instead of just helping businesses survive, they want support that encourages SMEs to scale up and become more competitive mid-tier companies .

Going digital is the way forward

Technology is going to be a big part of the plan for 2027. Data from 2025 shows that about 17% of small businesses and 30% of medium enterprises have already started using AI to help with their daily tasks .

The government is expected to keep backing these digital efforts. By using tech, local businesses can manufacture goods more efficiently and handle their paperwork much faster .