Starting tomorrow (30 September), the price of RON95 petrol will drop from RM2.05 to RM1.99 per litre, Prime Minister Anwar Ibrahim announced.
He also said police and military personnel will get to enjoy the lower price earlier, beginning 27 September (Saturday), while Rahmah Cash Aid (STR) recipients will benefit from it starting 28 September (Sunday).
Anwar Ibrahim
“Too much of our resources have been wasted on subsidies”
Accordingly, Transport Minister Anthony Loke Siew Fook has pointed out that the unity government has taken a bold step by rolling out the country’s first truly targeted BUDI MADANI RON95 (BUDI95) fuel subsidy. He said this move is meant to ensure fairer use of national resources.
According to Loke, Malaysia has long been relying on blanket subsidies, which means not just locals but also foreigners and foreign workers have been enjoying cheap fuel, as reported by China Press.
“Even those who don’t pay taxes are getting the same low prices, and this has cost the government billions every year while draining public funds. Too much of our resources have been wasted on subsidies when they should be used more responsibly,” he said.
The government expects the new policy to save at least RM4 billion a year, and the money will be redirected to people-focused efforts like improving healthcare and education, as well as supporting low-income families.
Anthony Loke
“The government has now shown the courage”
Loke said the reform had been discussed for many years, but no previous government dared to implement it.
“This time, the government has now shown the courage and determination to push ahead with economic reforms, to better manage resources, boost national development, and bring greater benefits to the people.”
He also pointed to the Care Basic Assistance, which gives all Malaysians aged 18 and above a RM100 subsidy for daily essentials, available until 31 December.
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