The term “T15” has become the new buzzword on social media in Malaysia recently following the tabling of Budget 2025 by Prime Minister Dato’ Seri Anwar Ibrahim last Friday (18 October).
This is due to the Federal Government’s decision to do away with the RON95 blanket subsidy in favour of targeted subsidies for 85% of the population, barring the top 15% of high-income Malaysians, i.e. the “T15”. Not only that, the Government is also planning to cut subsidies in other areas for this new top earners group classification.
Malaysians are still in the dark about what is meant by Budget 2025’s “T15” classification
For illustration purposes
Accordingly, many Members of Parliament (MPs) have voiced out against the new targeted subsidies, including Ayer Itam MP Wee Ka Siong and Muar MP Syed Saddiq.
Moreover, a majority of Malaysians are still in the dark about what is considered “T15” as no clear definition of the group has been set by the Government.
Economy Minister Rafizi Ramli clarifies that the criteria for “T15” is not yet finalised
Accordingly, Economy Minister Rafizi Ramli has taken to social media to clarify that the Government has yet to finalise the criteria for this “T15” group.
In a video, Rafizi refuted claims by certain quarters that prematurely assumed that “T15” refers to only household income.
He elaborated that B40, M40, T20 and T15 are only statistical guidelines depending on data sets. If the data set refers to national household income data, “T15” would refer to households with the 15% highest income.
However, the Economy Minister stressed that the cost of living can’t be based on gross income alone as many factors come into play, such as household size, location, dependants and so on.
The “T15” classification will look beyond a household’s gross income
Accordingly, the “T15” classification referred to in Budget 2025 will be based on fairer data considerations and not only on gross income.
Rafizi thus clarified that the criteria to determine a family’s socioeconomic status in Malaysia is still ongoing.
Watch the Economy Minister’s explainer video here:
Gaji RM7,000 sebulan dah tak layak dapat subsidi RON95? Kalau belum dimuktamadkan kenapa umum dahulu? Tak buat homework ke?
YAB Perdana Menteri mengumumkan pelaksanaan penyasaran semula subsidi RON95 tahun depan.
Banyak komen di luar sana dan saya faham ini peluang yang baik… pic.twitter.com/bwTTmXEptY
— Rafizi Ramli (@rafiziramli) October 22, 2024
So, what do you guys think of the Economy Minister’s statement? Share your thoughts with us in the comments!
Also read: Wee Ka Siong: It’s Unfair to “Punish” T15 With Subsidy Cuts As Not All Are Considered “Ultra Rich”
This post first appeared on WORLD OF BUZZ.