SERDANG: Prime Minister Datuk Seri Anwar Ibrahim today reiterated that the government’s subsidy rationalisation policy was aimed at curbing benefits for the wealthy and large corporations, rather than burdening ordinary Malaysians.
“The deficit and new borrowings have been reduced—from RM100 billion previously to RM70 billion now. Salaries, allocations, and social aid have also increased, with RM15 billion channelled this year alone,” he said during his speech at the Majlis Amanat Perdana Hari Kebangsaan 2025 here today.
Anwar said subsidies withdrawn were those enjoyed by corporations raking in RM200 million to RM1 billion in profits annually.
“For years, their electricity was subsidised. Now, we no longer cover their subsidies. But we never take from the people.”
He also pointed out that essential items for the rakyat were safeguarded, including the reductions in prices.
“For the people, we reduced the price of RON95 to RM1.99. Show me another country that has done this—reduced fuel prices, reduced water tariffs, and borne these costs,” he said.
Anwar once again clarified that market-based pricing without subsidies applies only to foreigners.
“This does not mean increases—it means subsidies are removed only for foreigners. Yet, when this happens, critics say we are burdening the rakyat.”
He added that high-income earners would shoulder some costs while vulnerable groups such as farmers, fishermen, smallholders and low-wage workers would not face higher fuel prices.
“This is our plan. What I have announced is very different from what is being spread on social media,” he said.
