Budget review likely to affect telco, tobacco, several other sectors

MIDLAND, TX - JANUARY 20: A pumpjack sits on the outskirts of town at dawn in the Permian Basin oil field on January 21, 2016 in the oil town of Midland, Texas. Despite recent drops in the price of oil, many residents of Andrews, and similar towns across the Permian, are trying to take the long view and stay optimistic. The Dow Jones industrial average plunged 540 points on Wednesday after crude oil plummeted another 7% and crashed below $27 a barrel. Spencer Platt/Getty Images/AFP == FOR NEWSPAPERS, INTERNET, TELCOS & TELEVISION USE ONLY ==

PETALING JAYA: The recalibration of Budget 2016 may affect several sectors, including telecommunications as well as alcohol and tobacco companies.

“While potential measures would address the oil revenue shortfall in Budget 2016 and help stave off the risk of ratings downgrade for the Malaysian sovereign debt, it could affect selected sectors or companies,” said UOB KayHian Research in a note yesterday.