The government has saved RM800 million since September 30 through the implementation of the BUDI MADANI RON95 (BUDI95) programme, Prime Minister Datuk Seri Anwar Ibrahim said.
Anwar, who is also Finance Minister, said the savings were achieved by better targeting fuel subsidies so that only Malaysians benefit, effectively stopping leakages that had previously allowed more than 3.5 million foreigners to enjoy subsidised fuel, as well as curbing large-scale fuel smuggling involving tens of thousands of litres.
“Every ringgit saved is returned to the people through initiatives such as the Rahmah Cash Contribution (STR) and the Rahmah Basic Contribution (SARA), as well as through upgrades to clinics and hospitals, improved roads and stronger national infrastructure,” he said in a Facebook post on Sunday.
The prime minister noted that targeted fuel subsidies had been discussed for over two decades by successive administrations, but were never implemented due to a lack of political will. He said the MADANI Government took the bold step to introduce BUDI95 to ensure subsidies reach those who truly need them.
Under the BUDI95 programme, all Malaysian MyKad holders aged 16 and above with a valid driving licence are eligible to purchase up to 300 litres of subsidised RON95 fuel per month at RM1.99 per litre, compared with the unsubsidised price of RM2.60 per litre.
