KUALA LUMPUR, April 18 – Economy Minister Rafizi Ramli has affirmed Malaysia’s commitment to reducing petrol subsidies this year as part of efforts to address the fiscal deficit. Emphasizing the government’s focus on aiding the poor, Rafizi stated that the subsidy reduction plan remains on track. In an interview at Putrajaya, Rafizi stressed the importance of managing the sequence of subsidy reductions to mitigate potential inflationary effects. Last year’s expenditure on subsidies, particularly for RON95 fuel, amounted to RM81 billion, prompting the need for a phased approach towards subsidy reform.
Rafizi reiterated plans to introduce a new RON95 petrol subsidy program this year, replacing the existing blanket policy. He highlighted the need for structural changes in the economy to establish Malaysia as a leading startup ecosystem globally. This commitment aligns with the upcoming KL20 Summit’s objective of positioning Malaysia among the top 20 global startup hubs by 2030. Additionally, initiatives led by Khazanah Nasional Bhd aim to bolster Malaysia’s digital and technology industry through investments in startups, attracting venture capital firms to the nation.
Rafizi expressed confidence in Malaysia’s long-term economic restructuring despite fluctuations in the ringgit’s value, emphasizing the country’s inherent advantages for fostering innovation and technological advancement.
