By: Rosli Mansor Ahmad Razali
TANJUNG RAMBUTAN: The government is currently bearing up to RM3.3 billion a month in petrol and diesel subsidies to ensure fuel prices remain stable and do not burden the public, said Political Secretary to the Finance Minister, Muhammad Kamil Abdul Munim.
He said the subsidy for RON95 petrol alone has surged from RM315 million to RM2 billion per month, while diesel subsidies have risen to RM1.3 billion per month, following the global increase in oil prices due to geopolitical tensions in the Middle East.
“This major step is taken to prevent a sharp rise in transport costs and the price of essential goods. Currently, our system handles around three million transactions daily involving 16.5 million BUDI RON95 recipients,” he said during the launching of the Satellite Programme: Kita MADANI Carnival X MADANI Rakyat Programme (PMR) 2.0 Perak State Level 2026 at ILKKM Sultan Azlan Shah here today.
He also announced that diesel cash aid has been increased to RM300 per month starting from March to assist eligible individuals and the agri-commodity sector.
Kamil said that the tension in the Middle East has a direct impact on Malaysia, as the country depends on the region for energy supply and essential raw materials, including 61 per cent of crude oil imports from the Middle East, 46 per cent of oil imports via the Strait of Hormuz, and over 30 per cent of critical inputs such as fertilisers and sulfur.
He stressed that ongoing supply disruptions could raise the risk of global inflation, but the government has already taken cost-saving measures, including the cancellation of the national-level Aidilfitri Open House and limiting overseas delegations to reduce non-essential spending.
“The public need not panic, but must be prepared. Spend wisely and take advantage of initiatives such as the RAHMAH Sale and Agro MADANI Sale to lower household costs,” he said.
