Government ministers and backbenchers think the Budget has lived up to the people's expectation.

Below are some reactions from them:

Ong Ka Ting (Local Government and Housing Minister and MCA president)

I think the corporate tax cut and the dividend for investors will have some impact. What is important is the livelihood (of the people), their ability to own a house, their children's education, especially for those lower-income group.

I don't think it's a disappointment. There are many other factors that can contribute to the fact that the government is taking care of those who are not in the position to compete, so I welcome this Budget - it's a very good Budget.

The Budget helps to gain public confidence to vote for BN in next general elections. Overall the public will welcome the Budget.

You can't have a situation where everybody be happy and (to) keep on reducing taxes. There must be a prudent way of managing the finance of the country.

S Samy Vellu (Works Minister and MIC president)

The Budget is a very simple and lovely Budget. Lovely because it takes care of the people and provide a lot of inspirations for the ordinary people - it thinks of the family, the unity in the family, husband and wife.

It's a Budget that unite the people and make them happy. This is a right Budget that presented by the prime minister.

The leadership of Abdullah Ahmad Badawi up to this date has lived up to the people's expectation.

Hishammuddin Hussein (Education Minister and Umno Youth chief)

I don't think this is an election appeasing Budget.

As far as education is concerned, looking at the Budget of the past, we have always put emphasis on education, even at the height of the recession in 1999.

All the Budgets for other ministries were reduced but not for education. To say that this is purely an election budget is not true for education at least because we have always put education as a major priority and that has been recognised by all over the world.

This shows we are serious in our responsibilities and the prime minister is merely adding meat to what is already there.

Nor Mohamed Yakcop (Second Finance Minister)

The Budget is full of factors and measures to boost the economy into a very productive and healthy economy.

Remember our Budget is still a very prudent and controlled because the deficit continues to reduce from 3.2 percent to 3.1 percent.

The measures to encourage people to own houses will not create a property bubble at all.

Houses are basic necessity, everybody needs a house and we have a young growing population who need houses. This will create an environment where people will be able to afford better houses and will reduce the burden of re-payment in many cases, this will make people happy, the quality of life will certainly improve, it's a very significant measure.

Bernard Dompok (Minister in the Prime Minister's Department and Upko president)

The agriculture sector and biotechnology receive recognition for its importance in the country's quest for increased productivity in agriculture. This augurs well for the efforts of farmers who have taken the prime minister's call for them to utilise knowledge in ensuring that farmers are not necessarily doomed to a life of subsistence farming.

The waiver on fees payable in schools and provisions of incentives for the teaching profession, of scholarships for students will assist in the effort by the government to maximise human capital development.

The Budget has addressed the plight of those who are not in ownership of their own homes yet or who require rented accommodation. This is indeed an important move towards a home-owning democracy.

The prime minister's concern for infrastructure development for Sabah and Sarawak is certainly a welcome boost to the two states. This will assist towards addressing regional imbalance in the country's development.

K Devamany (MIC-Cameron Highlands)

I'm very happy that Orang Asli has been mentioned for the first time. Their pain have been finally addressed.

It is also very heartening to hear tax exemptions for vernacular schools. With this effort, we hope more corporate bodies will come forward and help these schools in the future.

Wong Nai Chee (BN-Kota Melaka)

It is a practical Budget which did not produce any clear losers. It is more on the enhancement of the public delivery system. We also need to note that for the first time, we're hearing about free textbooks for all students.

Badruddin Amiruldin (Umno-Jerai)

This Budget is to build our human capital. We see many incentives are given to students in terms of school fees and free textbooks.

Furthermore, we also see increase in cost of living allowance for students studying abroad. I would say that this Budget is to ensure the well-being of the rakyat.

Idris Haron (Umno - Tangga Batu)

I see the budget as a call to join hands in nation building. With his allocations for education and welfare, I see that the prime minister really walks the talk. It is in line with his policy of emphasis on human capital.

I felt that there was no big announcement or any major moves. This will counter allegations that this budget is an election appeasing budget.

Mahadzir Mohd Khir (Umno - Sungai Petani)

I think the main focus of the budget is on the human capital policy. On how the idea is being translated into action plans. This is very good.

I consider the announcement of free primary education as a gift from the premier for the nation's 50th anniversary. On top of that there are so many kind of subsidies given by the government.

We are building a generation of human capital for the next ten or twenty years and if the government wants this to be an election budget they would be giving out money. I don't feel that is the case.