BUDI95 fuel subsidy reform frees up RM4bil for aid programmes, says Amir Hamzah
More than 14.2 million of 16.7 million Malaysians eligible for the BUDI95 targeted fuel subsidy programme have benefited from the initiative.
Finance Minister II Amir Hamzah Azizan revealed that the BUDI95 fuel subsidy program has enabled the Malaysian government to save between RM2.5 billion and RM4 billion annually since its introduction in 2025. This substantial fiscal relief is attributed to the minimal percentage of BUDI95 users who consistently consume more than 200 litres of RON95 per month - a figure less than 1%.
The targeted subsidies have been allocated towards strengthening Malaysia's social protection system by increasing assistance for the majority of Malaysians. These programmes, such as Sumbangan Tunai Rahmah and Sumbangan Asas Rahmah, have been expanded to a record RM15 billion, marking the highest allocation ever provided. Furthermore, the assistance for other programs like Jualan Rahmah Madani, Early Schooling Aid, and My50 pass have also been increased to counter the rising cost of living.
Out of the 16.7 million Malaysians eligible for the BUDI95 programme, more than 14.2 million have already benefited, consuming over 13.4 billion litres of RON95 fuel. The unsubsidised RON95 price applies only to those ineligible for the subsidy, including non-citizens and those not meeting the BUDI95 eligibility criteria.
Written by urgent.news from Free Malaysia Today's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
