Business 16/10/2026 01:20 PM

Budget 2027: RM8 Bln TVET Allocation To Boost Aviation, Automotive Sectors

BERNAMA Malaysian National News Agency
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Budget 2027: RM8 Bln TVET Allocation To Boost Aviation, Automotive Sectors
Ketua Pegawai Eksekutif Naza Automotif Holdings Sdn Bhd Mohd Rizal Jailan (kiri) ketika menjadi tetamu pada program Jendela Fikir terbitan BERNAMA Radio di Wisma BERNAMA. Turut sama Ketua Pegawai Insan Kumpulan Malaysia Aviation Group Amran Mohd Tomin. -- fotoBERNAMA (2026) HAK CIPTA TERPELIHARA

By Rosemarie Khoo Mohd Sani

KUALA LUMPUR, Oct 16 (Bernama) -- The RM8 billion allocation to strengthen Technical and Vocational Education and Training (TVET) under Budget 2027 will be a key catalyst in propelling the country’s aviation and automotive industries into the next phase of growth.

Malaysia Aviation Group (MAG) group chief people officer Amran Mohd Tomin said the targeted allocations across multiple ministries align with the aviation industry’s need for a future-focused workforce.

He noted that government initiatives such as the RM500 million allocation for the Skills Development Fund Corporation (PTPK) and a RM3 billion fund through HRD Corp have great potential to empower upskilling and reskilling programmes for human capital.

“More compelling is Budget 2027’s RM150 million allocation for the Malaysian Indian Transformation Unit (MITRA), which also provides space and opportunities for Indian youth in the aviation sector.

“The specialisation given to the aviation industry is very good and important to ensure TVET progress aligns with the industry’s actual needs,” he said on Bernama Radio’s Jendela Fikir segment, in a discussion titled “Budget 2027: TVET From an Industry Perspective”.

Amran said that through its training arm, MAB Academy, MAG offers two main aircraft maintenance training programmes, namely Trainee Aircraft Maintenance Engineer (TAME) and Trainee Aircraft Maintenance Technician (TAMT), to eligible SPM graduates.

“After obtaining the certificates, we (MAG) will absorb them directly because these two positions are in high demand within the aviation industry, particularly in maintenance, repair, and overhaul (MRO).

“This is because the qualification certificates are recognised not only in Malaysia but globally,” he said.

Meanwhile, Naza Group Automotive Division chief executive officer Mohd Rizal Jailan said Budget 2027’s allocations for TVET can empower the rapidly growing local automotive ecosystem.

He said this is because the national automotive ecosystem does not rely solely on original equipment manufacturers (OEMs) but also requires an efficient supply chain of component suppliers, vendors, and aftersales services.

“We can see that artificial intelligence (AI) is starting to play a significant role in everyday vehicles, and secondly, in new technology and energy.

“Through the TVET initiative, new graduates can be equipped with basic skills before being absorbed into specialised academies for further training, because each car brand has different technology,” he explained.

Regarding the management of the old and new workforce, Mohd Rizal said there is no issue of veteran workers being left behind because both complement each other.

“For those who have been working longer, we have an upskilling programme to keep them up to date with new vehicle technology.

“The newer generations are stronger in critical thinking and AI, while experienced workers bring valuable know-how,” he added.

Additionally, Amran and Mohd Rizal agreed that ongoing dialogue between aviation and automotive industry players and TVET practitioners is essential to ensure TVET development and the industries remain relevant.

They also encouraged involvement from banking and financial institutions to help finance high-level skills training that requires substantial capital investment.

-- BERNAMA