Returns from Targeted Subsidies to Benefit Malaysians: PM Anwar

PUTRAJAYA, Sept 21 (VoM):Prime Minister Datuk Seri Anwar Ibrahim has assured that savings generated from the government’s targeted subsidy program will be redirected to improve the lives of Malaysians, with priority given to education, healthcare, and essential infrastructure.

Speaking at the Prime Minister’s Department monthly assembly on Friday, Anwar, who also serves as finance minister, said that rationalizing subsidies has already enabled the government to roll out initiatives such as the Sumbangan Asas Rahmah (Sara) Appreciation Aid, which provides RM100 in assistance to eligible citizens.

“These savings allow us to give back to the people. Although it is only RM100, the total financial implication is RM2 billion, and this was possible only because of targeted diesel subsidies,” Anwar said.

He explained that adjustments to RON95 fuel subsidies, where non-citizens faced a slight price increase while citizens saw a decrease, would also free up funds for public benefit. This includes financing the reconstruction of flood-damaged infrastructure in Sabah, such as the Institut Pendidikan Guru Kampus Gaya, schools, clinics, and hillside roads.

“This is a new burden, and we should use these funds to aid those affected. Our firm priority is to reinvest these savings in the people, especially in education, health, and basic infrastructure,” he stressed.