The Malaysian government is considering a proposed revision of petrol subsidies for high-income earners.
The proposal was submitted nearly a month ago and has been under review by the relevant authorities for the last three weeks.
Malaysian Prime Minister Anwar Ibrahim noted that no final decision has been made. However, he affirmed that in principle, the government agrees on the need to review the subsidy mechanism for higher-income Malaysians and is working to finalize the proposal as soon as possible.
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Motorists pump gas at a station in Kuala Lumpur, Malaysia, July 1, 2010. Photo by Reuters |
The move comes amid growing calls for the country’s fuel subsidy policy to be adjusted to ensure that assistance is directed toward the appropriate beneficiaries.
There have been calls to make high-income groups ineligible for subsidies on RON95 petrol, with support instead redirected to middle- and lower-income groups that have been more heavily affected by rising living costs.
The proposal is considered necessary in the current economic context, as it will help optimize national resources and strengthen resilience against global economic uncertainties.
