The government has restored the BUDI95 monthly quota to 300 litres and raised diesel allocation to 400 litres as Malaysians face cost pressures.
PUTRAJAYA: More than 16 million motorists will see their monthly subsidised RON95 allocation under Budi Madani RON95 (BUDI95) restored to 300 litres, Prime Minister Datuk Seri Anwar Ibrahim announced today.
The government has reversed the temporary 200-litre monthly limit, bringing the basic BUDI95 eligibility back to its previous 300-litre threshold.
Anwar said the move was aimed at providing immediate relief to Malaysians grappling with mounting cost-of-living pressures, rather than making them wait for Budget 2027.
“Usually, I would say wait for the national Budget.
“But it appears the people cannot wait because the pressure of living costs does not wait until October,” he said in his Merdeka address here today.
The government will also raise the monthly subsidised diesel allocation for more than 500,000 eligible vehicle owners, including those using pickup trucks and jeeps, to up to 400 litres.
Anwar said the measure was part of the government’s efforts to ensure targeted fuel assistance continued to reach those who remained eligible for subsidies.
Both measures will take effect from Sep 1.
The restoration of the BUDI95 quota comes months after the government temporarily reduced the monthly eligibility threshold from 300 litres to 200 litres.
Previously, Anwar said the move was necessary to manage fuel supply amid global uncertainty, while stressing that it was temporary.
At the time, Anwar said the 200-litre threshold would remain pending improvements in global oil supply and the broader economic outlook, while the subsidised BUDI95 petrol price remained at RM1.99 per litre.
Today’s announcement effectively restores the previous 300-litre monthly eligibility as the government moves to provide relief from current cost-of-living pressures.
Anwar said the measures reflected the government’s broader principle that economic growth must ultimately be returned to the people.
“The pressure of living costs does not wait until October. Businesses need to grow now; they cannot wait until October,” he said.
Beyond the fuel measures, Anwar also announced a series of initiatives targeting schools, healthcare, young people and small businesses.
School maintenance allocations will be increased by 50% to RM1.5 billion in 2027 from RM1 billion, covering national, Chinese and Tamil vernacular schools, religious schools, tahfiz and pondok institutions, as well as special education facilities.
The Education Ministry will begin reviewing repair applications at district level from next month, he said.
For young Malaysians, the government will open an AI programme for 100,000 people aged 18 to 30, with participants who complete the required modules receiving three months’ free access to selected leading AI applications from Sep 1.
The government will also allocate RM1 billion to strengthen digital infrastructure in public healthcare, including electronic medical records and internet connectivity at 150 hospitals and more than 2,000 health clinics.
For small businesses, the annual e-Invoice exemption threshold will be raised from RM1 million to RM3 million, while microfinancing will be increased by RM1 billion to RM6 billion.
A RM200 million Geran Sejahtera MADANI will also be introduced for hawkers, small traders, night-market operators and home-based businesses.
Anwar said the measures reflected the government’s principle that economic growth must ultimately be returned to the people.
