PM: Billions spent, but more needs to be done to ease cost-of-living pressures

Prime Minister Anwar Ibrahim acknowledged during his Merdeka Day address that the government's assistance has not sufficiently alleviated the cost-of-living pressures faced by Malaysians, despite billions of ringgit already spent on aid and subsidies. He emphasized that more work needs to be done, and the existing measures cannot be considered a complete solution to all the problems.

Anwar highlighted that the government is aware of the financial pressures faced by households, businesses, and communities, and that continued efforts are necessary to address these issues. The government has allocated a combined RM15 billion this year for Sumbangan Tunai Rahmah (STR) and Sumbangan Asas Rahmah (SARA), the highest amount to date.

He also rejected the notion that the M40 group has been left out of government assistance, noting that measures such as a two-percentage-point income tax reduction in 2023 have benefited them. However, Anwar stressed that the government's actions do not mean they believe the problems faced by Malaysians have been resolved. He mentioned that the government is spending about RM40 billion on petrol and diesel subsidies, which benefit almost all M40 and T20 households.

Despite these efforts, Anwar pointed out that micro, small, and medium enterprises are dealing with rising operating costs, and there are still challenges with school infrastructure and public healthcare facilities. The prime minister also announced that recovered funds from illegal proceeds through legal proceedings will be returned to the people, particularly for education and healthcare.