Kuala Lumpur: In a significant shift toward a more nuanced subsidy framework, Prime Minister Datuk Seri Anwar Ibrahim confirmed that ownership of luxury assets—including homes and vehicles—will now become part of the criteria determining eligibility for the RON95 petrol subsidy. This move reflects a broader strategy to direct assistance more precisely toward Malaysians who need it most.
Anwar, who also serves as Finance Minister, explained in a written parliamentary reply that the government will integrate multiple data sources—including income details from the Inland Revenue Board (LHDN), household surveys from the Department of Statistics Malaysia (DOSM), and data from the socio-economic database PADU—to assess eligibility. These additions aim to ensure that aid reaches those truly eligible, with a final framework expected to be unveiled by September.
This reform follows July’s announcement that subsidised RON95 will be priced at RM1.99 per litre for eligible Malaysians, while outsiders—including foreign tourists—will pay approximately RM2.50 per litre. Anwar emphasized that about 85% of Malaysians will retain access to the subsidy, while the reforms are expected to curb annual government losses—currently estimated at RM19 billion—by shifting from a blanket to a targeted subsidy system, potentially saving around RM8 billion yearly.
