Given the US tariffs on Malaysian imports, lawmakers are urging the government to postpone its proposed RON95 subsidy rationalization and other budgetary adjustments, such as increasing electricity tariffs.Opposition leader Hamzah Zainudin (PN-Larut) believes that adjusting fiscal policies due to global economic uncertainties may harm the economy and reduce corporate confidence. He says that this would lead to higher prices, ultimately burdening consumers.
“The rationalisation of RON95 subsidies in June this year should be put on hold, if possible, and the same goes for the hike in electricity tariffs in July,” he said in parliament.
Initially planned for 2024, the rationalisation of RON95 subsidy was postponed until mid-2025, leading to criticism regarding the lack of clear implementation details.
In March, Finance Minister II Datuk Seri Amir Hamzah Azizan announced that the MyKad system would determine prices based on a two-tier structure involving both subsidised and non-subsidised rates.
