Govt wants 6 in 10 EPF members to hit basic savings benchmark by 2030

Malaysia aims to increase the retirement income adequacy framework to six in 10 EPF members reaching the “basic savings” benchmark of RM390,000 by age 60 by 2030.

Prime Minister Anwar Ibrahim said close to four in 10 members were now on track to reach the benchmark under the EPF’s retirement income adequacy framework.

“This is progress, but too many Malaysians remain at risk of outliving their savings during a retirement that may last 20 to 25 years,” he said in his keynote address at the EPF’s International Social Well-Being Conference 2026 here today.

Anwar’s speech was read by finance minister II Amir Hamzah Azizan.

Also present were federal territories minister Hannah Yeoh and EPF CEO Ahmad Zulqarnain Onn.

Anwar said coverage was also a challenge, as millions of Malaysians work outside conventional formal employment, while the country’s social protection system was designed largely around it.

He said the country’s systems must evolve alongside it as the nature of work changes.

“There is another reality we must confront. For policymakers, retirement may be a 30-year horizon. For a household managing food, rent and school expenses, the horizon may be the end of the week.

“Asking people to prepare for 2048 while they are uncertain about next month is not simply a question of financial literacy. It is a question of financial capacity,” he said.

Anwar said retirement security begins with income, decent work and the ability to save consistently, and that the retirement agenda must move together with the wage agenda.

He said the government had set aside RM1.26 billion for the welfare of senior citizens, reaching 180,000 older Malaysians, while expanding activity centres to ensure that growing older does not have to mean becoming isolated.

On another note, Anwar said Malaysia requires a graduated system of care, from community support, nutritious meals and home assistance to day care, home nursing and residential aged care for those who are frail or living with dementia.

He said access should be based on need, not just the ability to pay.

“The government must lead by setting standards, strengthening safety nets and ensuring essential services. But lasting success requires shared commitment,” said Anwar.

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