Malaysia expanded its fuel subsidy program to 16 million citizens after the prime minister assured middle-income groups they would maintain eligibility. The Budi Madani RON95 initiative reduces petrol costs to RM1.99 per liter from RM2.05 and permits monthly purchases up to 300 liters for drivers with valid licenses. Military and police members received access on September 27, before the government extended benefits to cash assistance recipients and all qualifying Malaysians.
Economic analyst Ahmed Razman Abdul Latiff praised the decision to cover all eligible citizens rather than the previously announced 85 percent. The program uses national identity cards to prevent smuggling and reduce wastage while maintaining regional competitiveness in fuel pricing. Officials estimate that qualified Malaysians save up to RM200 monthly through reduced rates. Diesel subsidy reforms generated RM4 billion in savings that authorities redirected toward social assistance programs.
Economic analyst Ahmed Razman Abdul Latiff praised the decision to cover all eligible citizens rather than the previously announced 85 percent. The program uses national identity cards to prevent smuggling and reduce wastage while maintaining regional competitiveness in fuel pricing. Officials estimate that qualified Malaysians save up to RM200 monthly through reduced rates. Diesel subsidy reforms generated RM4 billion in savings that authorities redirected toward social assistance programs.
