Photo by Erik Mclean on Unsplash.
Prime Minister Anwar Ibrahim announced that Malaysia will adopt targeted diesel subsidies, expected to save RM4 billion annually. This policy applies only to Peninsular Malaysia, acknowledging different conditions in Sabah and Sarawak.
The cabinet’s decision aims to impact primarily the affluent and foreigners, while safeguarding the B40 segment through government initiatives. Details will be released by the relevant ministry.
Subsidies for commercial users and cash assistance for diesel users are planned to prevent adverse effects on the majority. Additionally, the Rahmah Cash Contribution is increased by 25%, benefiting nine million adults.
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