Rising construction material prices triggered by global economic uncertainties and tensions in the Middle East have yet to force any delays to infrastructure projects under the Works Ministry.
Works Minister Datuk Seri Alexander Nanta Linggi said all ongoing government development projects remain on schedule as the increase in costs is still manageable and can be absorbed.
He stressed that the construction sector remains one of the country’s key economic drivers and that infrastructure projects must continue to support growth and public development spending.
“For now, we have not felt the impact to the point where it has become too significant. We are still able to absorb the price increases and all projects are proceeding as usual without any postponement.
“Infrastructure and construction projects must continue because this sector is one of the engines of the country’s economic growth,” he told reporters after attending the Malaysia Road Conference and Exhibition (MRGEC) 2026 in Kuching on Wednesday.
Nanta said the Works Ministry and the Construction Industry Development Board (CIDB) have conducted studies on the impact of rising material prices and submitted several strategic recommendations to the government to address possible future challenges.
He added that the ministry is closely monitoring geopolitical developments that could disrupt global supply chains and put further pressure on building material prices.
Despite the uncertainties, Nanta said the government remains capable of managing the impact without requiring additional allocations for projects currently being implemented.
He said continuous monitoring would be maintained to ensure fluctuations in construction material prices do not affect the execution of priority development projects.
