Malaysia aims to deliver 500,000 affordable homes by 2030, using modular construction to build faster and at lower cost, Prime Minister Anwar Ibrahim said on Tuesday, 10 November 2026.

Anwar set out the target as he opened International Construction Week 2026 at the Malaysia International Trade and Exhibition Centre (Mitec) in Kuala Lumpur. The 500,000 homes form part of a wider national goal of one million affordable homes between 2026 and 2035 under the 13th Malaysia Plan.

“Technology must help us deliver homes more efficiently, without compromising safety, quality and liveability, and I would add, cost,” Anwar said at the opening ceremony.

Modular building at the centre of the plan

Modular construction involves making building parts in a factory and then transporting them to the site for assembly. Supporters say the method can shorten build times, cut waste and keep quality more consistent than building everything on site.

Under the 13th Malaysia Plan, major government and public university projects worth RM100 million or more must now reach at least 70 percent industrialised building system content, a standard that pushes builders towards factory-made components.

Anwar said Malaysia should not simply buy in modular technology from abroad. He urged local firms to take part in developing, making and selling the technology themselves, backed by stronger manufacturing, investment, skilled workers and supportive rules.

“It is imperative that we develop an ecosystem in which Malaysian companies are not merely users of modular technology but active participants in its development, production and commercialisation,” he said.

Small firms to get a share of the work

The prime minister also said small and medium-sized contractors should get access to the knowledge, training, technology and business chances that come with the shift to modern construction methods, so the benefits are not limited to large firms.

He linked the housing push to good governance, saying competitive tenders and greater transparency could cut unnecessary costs and free up more money for development.

Anwar stressed that construction progress should be judged by whether ordinary Malaysians benefit, above all through affordable housing, rather than by the number of large projects alone.

What happens next

The government will now need to turn the target into homes on the ground, with a modular construction roadmap, local manufacturing capacity and enough skilled workers to deliver at scale. The 500,000-home figure covers the four years to 2030, with the full one-million-home ambition running to 2035.

Sources: The Edge via KLSE Screener and Scoop, reporting Bernama.