Overview
- Prime Minister Anwar Ibrahim said a proposal to retarget RON95 petrol subsidies is being refined and could be finalised soon.
- The plan is under review by a National Economic Action Council crisis task force led by Hassan Marican that is weighing T20, T15, T10 or T5 cutoffs.
- No income threshold has been chosen yet, with officials seeking savings without burdening the upper middle class.
- Economists estimate that removing the top 20% of households from the BUDI95 scheme could save up to RM1.5 billion a month.
- Puchong MP Yeo Bee Yin warned that excluding T15 or T20 could raise business costs, feed inflation and slow consumer spending.
- BUDI95 currently lets eligible citizens buy up to 300 litres of RON95 a month at RM1.99 per litre, and the T20 threshold starts above RM11,819 in monthly household income.