PM Anwar Unveils Major Economic Milestones, Announces Direct Cash Aid and Cost-of-Living Relief Measures
KUALA LUMPUR, July 23 (Voice of Malaysia): Prime Minister Datuk Seri Anwar Ibrahim today affirmed that Malaysia’s economy is on a firm recovery trajectory, bolstered by reforms under the Madani Economy framework, improved fiscal management, and growing investor confidence. Addressing the nation in a televised speech, the prime minister announced a series of targeted initiatives aimed at easing cost-of-living pressures while celebrating the economic resilience of the rakyat.
Anwar underscored that Malaysia’s Gross Domestic Product (GDP) grew 4.4% in the first quarter of 2025, with projections for the second quarter reaching 4.5%. He also highlighted Malaysia’s significant improvement in global competitiveness, climbing 11 places to rank 23rd in the 2025 World Competitiveness Index.
“The Malaysian Ringgit has appreciated by over 5% against the US Dollar and currently stands at RM4.23 – making it one of the top five performing Asian currencies this year,” Anwar noted.
The Prime Minister emphasized that economic growth must translate into meaningful improvements for the people. To that end, he announced:
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The national unemployment rate has dropped to 3.0% in May 2025—the lowest in more than a decade.
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Over 250,000 new jobs were created in 2023 and 2024.
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The minimum wage will be raised from RM1,500 to RM1,700 starting August 1, 2025.
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153,000 GLC and GLIC workers now receive a living wage of RM3,100 per month.
To address the critical shortage in healthcare personnel, the government will expedite the hiring of over 4,300 medical officers nationwide by the end of this year.
The government’s anti-poverty campaign has seen 150,000 households lifted out of hardcore poverty as of the end of 2024. A new program, Sejahtera MADANI, will be launched tomorrow, aimed at deepening public-private cooperation to support the vulnerable.
Community-based initiatives are also being expanded:
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The Sejati MADANI program has funded 8,600 economic activities at the village level.
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Kampung Angkat MADANI has grown to 200 villages in 2025.
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1,000 schools are set to be adopted under Sekolah Angkat MADANI by year-end.
Recognizing ongoing inflationary pressures despite a low overall inflation rate of 1.1% in June, Anwar unveiled five new key initiatives:
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RM100 Cash Aid via MyKad for All Adults
Every Malaysian aged 18 and above will receive a one-off RM100 credit under the Sumbangan Asas Rahmah (SARA) program, redeemable at over 4,100 retail outlets nationwide starting August 31, 2025. This measure is expected to benefit 22 million people, with a total allocation of RM2 billion, raising total SARA and STR allocations to RM15 billion in 2025—a historic high. -
Public Holiday for Malaysia Day
September 15 (Monday) will be declared a public holiday in celebration of Malaysia Day, promoting national unity and domestic tourism. -
Expansion of Jualan Rahmah MADANI
The government is doubling the allocation for subsidized essential goods sales from RM300 million to RM600 million, expanding to all 600 state constituencies. -
No Toll Hike in 2025
Toll rate increases on 10 highways will be deferred, costing the government over RM500 million. Highways affected include MEX, LPT2, SKVE, and others. -
RON95 Petrol Price Cut to RM1.99/Litre
The government will implement a targeted fuel subsidy by year-end, ensuring that regular citizens benefit from a reduced RON95 petrol price of RM1.99 per liter, while foreigners will pay market prices.
Anwar stressed that these targeted subsidy reforms are crucial for reducing fiscal waste, with fuel subsidies previously costing nearly RM20 billion annually.
In closing, the Prime Minister reiterated his government’s unwavering focus on the welfare of the rakyat:
“From the beginning, my priority has never changed — the people, the people, the people.”
He affirmed that the 13th Malaysia Plan (RMK-13), to be presented on July 31, will prioritize equitable development across all states, regardless of political alignment. Further enhancements to people-centric policies will be outlined in the Madani Budget 2026, to be tabled in October.
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