Services are half of federal contract money, and they lean to the countryside
Each award names its category: supplies, services, works or consultancy. Of RM 103.6 billion in tenders and quotations from January 2023 to September 2026, services are RM 52.6 billion, supplies RM 33.8 billion, works RM 16.0 billion and consultancy RM 1.3 billion. Services reach rural districts at RM 400 per resident a year against RM 185 in urban ones; supplies run the other way. Works are the easiest to place, 95% of their money, and the most concentrated: the largest 1% of works awards hold 62% of it.
Figure 1. One category’s money placed in each district per resident a year, January 2023 to September 2026, tenders and quotations together; the five shades split the districts into fifths. Sabah, Sarawak and Labuan are drawn 5° west.
Four categories, four different shapes
Services are the most money and the most local: firms from the district’s own state win 58% of it. Supplies are the least placeable, 37%, because so much of it is bought centrally and delivered nationwide; firms from Kuala Lumpur and Selangor win 66% of the placed part. Works are placed almost whole and won mostly by firms from outside the state. Consultancy is small, concentrated and 78% won by Kuala Lumpur and Selangor firms (Table 1).
Table 1. Each category’s money and awards, January 2023 to September 2026; the share placed in a district; the median award; the share of its money held by its largest 1% of awards; and, of the placed money whose winner’s address is known, the shares won by firms based in the same state and in Kuala Lumpur or Selangor.
Services lean rural, supplies urban
Per resident a year, rural districts receive RM 400 in services against RM 185 in urban ones. Supplies run the other way, RM 111 urban against RM 79 rural. Works are close to level (Table 2).
Table 2. Placed money per resident a year by category and density class, RM. Rural against urban is the rural figure divided by the urban one.
2025 was the largest year in every category
By the year an award was accepted, 2025 holds the most money in each category: RM 20.3 billion in services, RM 14.0 billion in supplies and RM 7.2 billion in works, against RM 15.2, 8.3 and 2.9 billion in 2024 (Figure 2). 2026 runs to September only, and results are often published late, so its bar will grow.
Figure 2. Federal tender and quotation money by the year the award was accepted and by category, RM, placed or not. 2026 is January to September.
By state
Per resident, Putrajaya leads supplies and services, Labuan leads works ahead of Putrajaya and Terengganu, and Sabah leads consultancy. Selangor is lowest in services and works and second lowest in supplies (Table 3).
Table 3. Placed money per resident a year by state and category, RM, January 2023 to September 2026. Each column is shaded in its own fifths.