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Malaysia boosts social safety net with RM13 billion aid for 2025

The MADANI government increases STR and SARA funding to RM13 billion, expands petrol subsidies, and launches community programmes to ease living costs

KUALA LUMPUR: The government has launched a series of initiatives to strengthen social safety nets and alleviate the rising cost of living for citizens.

Key efforts include enhancing the Sumbangan Tunai Rahmah (STR) and Sumbangan Asas Rahmah (SARA) aid schemes, which have been adjusted to reflect current expenses.

STR provides direct cash aid, while SARA allows the purchase of essential goods using a MyKad at registered outlets.

Total funding for these programmes has been increased from RM10 billion in 2024 to RM13 billion for 2025.

Eligibility has been expanded to cover more low-income households, senior citizens, and low-income singles.

More than 5.4 million monthly SARA recipients have used the scheme, with a 98% utilisation rate and spending totalling RM3.6 billion as of November 3.

For the RM100 SARA Appreciation scheme, over 83% of recipients have benefited, amounting to RM1.69 billion in disbursements.

The government is strengthening collaboration with the private sector through the Payung Rahmah initiative.

One component, Rahmah Sales, sells essential goods at lower prices and has recorded around 21 million transactions as of October.

To address public concerns, petrol subsidies have been expanded to include the M40 income group.

The BUDI MADANI RON95 (BUDI95) initiative offers petrol at RM1.99 per litre, below the market price of RM2.05.

As of October 31, more than 13.1 million Malaysians out of 16.5 million eligible have benefited from BUDI95.

The initiative has contributed to national savings of over RM7 billion, alongside monthly savings of around RM400 million from diesel subsidy rationalisation.

The Early Schooling Aid (BAP) scheme has also been distributed earlier to help parents with school preparation costs.

Beyond subsidies, community development is being strengthened through the SejaTi MADANI and Kampung Angkat programmes.

These focus on small infrastructure improvements like village roads, street lighting, and local amenities.

The programmes also support sanitation, learning activities, and efforts to boost residents’ incomes.

The government is bolstering the social safety net by improving welfare assistance under the Social Welfare Department (JKM).

This support covers senior citizens, children from low-income households, and general aid in targeted areas.

The rollout of these initiatives reflects the government’s commitment to public welfare under the Malaysia MADANI framework. – Bernama

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