Malaysia Targets Six in 10 EPF Members to Reach RM390,000 in Savings by 2030 – Anwar

KUALA LUMPUR: Malaysia aims to increase retirement income adequacy so that six out of every 10 Employees Provident Fund (EPF) members are on track to reach the Basic Savings benchmark of RM390,000 by the age of 60 by 2030.

Prime Minister Datuk Seri Anwar Ibrahim said currently, nearly four in 10 EPF members are on track to achieve the benchmark under the EPF Retirement Income Adequacy Framework.

“This represents progress, but far too many Malaysians remain at risk of exhausting their savings over a retirement period that could last 20 to 25 years,” he said in his keynote address at the EPF-organised International Social Wellbeing Conference 2026 here on Tuesday.

His speech was delivered by Finance Minister II Datuk Seri Amir Hamzah Azizan.

Also present were Minister in the Prime Minister’s Department (Federal Territories) Hannah Yeoh and EPF Chief Executive Officer Ahmad Zulqarnain Onn.

The Prime Minister said coverage also remained a challenge, as millions of Malaysians work outside the conventional formal employment sector, while the country’s social protection system was largely designed around that sector.

Anwar stressed that the country’s systems must evolve in line with the changing nature of work.

“There is another reality we must confront. For policymakers, retirement may be a 30-year planning horizon. For households managing food, rent and schooling expenses, the planning horizon may only extend to the end of the week.

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

He said retirement security begins with income, good jobs and the ability to save consistently, adding that the retirement agenda must move in tandem with the wage agenda.

Anwar said the government had allocated RM1.26 billion for the welfare of senior citizens, benefiting 180,000 older Malaysians, while also expanding activity centres to ensure that ageing does not necessarily mean isolation.

He said Malaysia also needs a tiered care system — ranging from community support, nutritious meals and home-based assistance to day care, residential care and institutional elderly care for those who are frail or living with dementia.

He stressed that access to care should be based on need, not solely on the ability to pay.

“The government must lead by setting standards, strengthening social safety nets and ensuring that essential services are provided. However, lasting success requires a shared commitment,” he said.

Meanwhile, EPF Chairman Tan Sri Mohd Zuki Ali said preparing for the future requires a collective effort across government, businesses, communities, families and individuals, with each playing a role in creating conditions that enable people to live well at every stage of life.

“This begins with recognising the experience, knowledge and contributions that every individual brings throughout their lives, alongside the support they may need as they grow older.

“Our institutions and systems need to evolve to enable people to work, learn, contribute and remain connected across generations,” he said.

Mohd Zuki said the introduction of i-Legasi reflects the importance of intergenerational support, allowing eligible members with sufficient retirement savings to transfer a portion of their savings into the EPF accounts of immediate family members, thereby helping strengthen retirement security across generations.

He said the Retirement Income Adequacy Framework complements these efforts by establishing clear benchmarks for Basic Savings, Adequate Savings and Enhanced Savings, giving members a clearer picture of the relationship between the amount they save today and the monthly income those savings could support.

Themed “The Long Horizon”, the 13th edition of ISWC 2026 is jointly organised by the EPF and the Ministry of Finance. The two-day forum concludes tomorrow.

Bernama