ENZHMS
Link Copiedcheck_circle
Auto News

RON95 Subsidy Rationalisation Might Be Postponed, Says Analysts

Kumeran Sagathevan

Share via

thumb-(3).jpg


Prime Minister Datuk Seri Anwar Ibrahim recently said that RON95 fuel subsidy rationalisation has not yet been finalised. According to Bloomberg, Anwar might delay this until next year in lieu of Malaysia's rapid economic growth.

Suhaimi Ilias, the chief economist at Maybank Investment Bank Bhd, states that Malaysia could still reduce its fiscal deficit to 4.3% of its GDP this year, even if subsidy cuts are delayed until 2025. This would be feasible if annual GDP growth exceeds the official forecast of 4% to 5%, resulting in higher revenue.


Caricarz-Social-PetrolStation-Fuel-8.jpg


Last month, Suhaimi mentioned that the government could either raise RON95 price by RM0.32 per litre (+15.6%) starting July 1, 2024, or by RM0.65 per litre (+31.7%) on Oct 1, 2024. These increases are to enable the government to save an additional RM4.1 billion.

Suhaimi added that Malaysia's inflation rate would probably average closer to 2% in 2024 if subsidy cutbacks are postponed until the following year, as opposed to Maybank's current projection of 2.4%. According to him, "the economy is essentially firing on all cylinders."


448098502_1037900847691482_6212976919920912869_n.jpg


Although eliminating RON95 subsidies would have a greater impact, Anwar has not committed to a precise time frame, preferring to concentrate on the seamless execution of diesel subsidy rationalisation.

Additionally, after the country's faster-than-expected economic growth in the previous quarter, Citigroup Inc. analysts have increased their growth projection for Malaysia to 5.2%. They also believe the government may postpone the RON95 subsidy rationalisation at the very least until the end of this year.




Source: MalayMail
Share This Article

More then half his life spend being obsessed with all thing go-fast, performance and automotive only to find out he's actually Captain Slow behind the wheels...oh well!

Share via

JPJ Running Numbers

KUALA LUMPUR

VPQ2830

SELANGOR

BSH3964

JOHOR

JYF6901

PULAU PINANG

PRT5341

PERAK

APA5813

PAHANG

CFD3170

KEDAH

KGB9724

NEGERI SEMBILAN

NEG8365

KOTA KINABALU

SJM3026

KUCHING

QAB245M

Last updated 27 Aug, 2025

Fuel Price

Petrol

RON 95

RM 2.05

RON 97

RM 3.13

RON 100

RM 5.00

VPR

RM 6.23

Diesel

EURO 5 B10

RM 2.85

-0.05

EURO 5 B7

RM 3.05

-0.05

Last updated 21 Aug, 2025

Related News

Auto News
Anwar: Luxury Assets Will Be Factored In For RON95 Subsidy

Anwar: Luxury Assets Will Be Factored In For RON95 Subsidy

PM Anwar says ownership of luxury good, properties and vehicles will be considered alongside income in determining who qualifies for RON95 subsidy.

Auto News
MoF: Fuel Subsidy Rollout Under Testing, Launches End-Sept

MoF: Fuel Subsidy Rollout Under Testing, Launches End-Sept

MoF is finalising the targeted fuel subsidy system, with full rollout details expected by end-Sept.

Auto News
PR Spouses Sidelined From RON95 Fuel Subsidy

PR Spouses Sidelined From RON95 Fuel Subsidy

PR spouses raising Malaysian children will reportedly soon be paying more for RON95.

Auto News
PM: M40 Will Benefit From Cheaper Fuel, Frozen Toll Rates

PM: M40 Will Benefit From Cheaper Fuel, Frozen Toll Rates

PM Datuk lo Seri Anwar Ibrahim reassured that fuel and toll savings are now reaching the M40 group.

Auto News
Toll Rates for 10 Highways Will Not Be Increased – PMX

Toll Rates for 10 Highways Will Not Be Increased – PMX

Prime Minister Datuk Seri Anwar Ibrahim announced that toll rates for 10 highways will not be increased in the near future.

23-07-2025
Auto News
Rafizi: PADU Ready but Overlooked for RON95 Subsidy Rationalisation

Rafizi: PADU Ready but Overlooked for RON95 Subsidy Rationalisation

Finance Ministry sidelines PADU, opts for a different approach in RON95 subsidy rationalisation.

Auto News
KLIA Aerotrain Finally Returns, Earns PM’s Nod Too

KLIA Aerotrain Finally Returns, Earns PM’s Nod Too

PM Anwar rides the upgraded KLIA Aerotrain, inter-terminal travel time now takes less than three minutes.

Auto News
PM: No RON95 Price Hike Despite Global Tensions

PM: No RON95 Price Hike Despite Global Tensions

Malaysia will keep RON95 prices steady despite rising global oil tensions, says PM.

Latest News

Auto News
Jetour Malaysia Charts Over 2,000 Bookings, Expands Network to 20 Dealerships

Jetour Malaysia Charts Over 2,000 Bookings, Expands Network to 20 Dealerships

Jetour Malaysia has expanded its dealer network to 20 locations, while racking up over 2,000 bookings for their SUVs.

26-08-2025
Auto News
RON95 Subsidy Sees Quota System With Higher Allowance for P-Hailing, E-Hailing

RON95 Subsidy Sees Quota System With Higher Allowance for P-Hailing, E-Hailing

The government will introduce new quota-based RON95 subsidy with higher fuel allowances for p-hailing and e-hailing drivers.

Auto News
ETS 3 Final Phase to Johor Bahru Set for December Launch – MoT

ETS 3 Final Phase to Johor Bahru Set for December Launch – MoT

Transport Minister Anthony Loke said the final phase of the ETS 3 project to Johor Bahru will be launched this December.

26-08-2025
Auto News
Shah Alam LRT Delayed Again, December Now In Sight

Shah Alam LRT Delayed Again, December Now In Sight

The Shah Alam LRT may miss its September deadline, with Prasarana now aiming for a December launch pending crucial safety tests.

26-08-2025
Auto News
Malaysia’s Transport Push: RTS, Digital Upgrades and Rail Milestones

Malaysia’s Transport Push: RTS, Digital Upgrades and Rail Milestones

Transport Minister says Malaysia’s transport is hitting new milestones, bringing real changes for travellers.

26-08-2025
Auto News
Johor Wants More Pick-Up, Drop-Off Points For Cross-Border Taxis

Johor Wants More Pick-Up, Drop-Off Points For Cross-Border Taxis

Johor is pushing for more cross-border taxi stops to make travel easier and help struggling businesses.

26-08-2025
Auto News
RON95 Subsidy Details Coming In Sept, Govt Assures 90% Will Remain Protected

RON95 Subsidy Details Coming In Sept, Govt Assures 90% Will Remain Protected

RON95 subsidy rationalisation enters final phase, criteria due by end of Sept as govt assures 90% won’t face higher prices

Auto News
Report: Chery Ranks as Third Best Non-National Carmaker in Malaysia

Report: Chery Ranks as Third Best Non-National Carmaker in Malaysia

Chinese automaker Chery is now ranked as the third best-selling non-national automaker in Malaysia as of Jan-July 2025.

25-08-2025

Show More

trending_flat
Carz Automedia Malaysia Logo
About Us

CarzAutoMedia: Stay connected to the latest car news! Get instant updates on new releases, industry trends, and automotive innovations. Your go-to source for 24/7 coverage of everything automotive.

© 2025 CariCarz.com. All Rights Reserved.