Malaysia plans to end petrol and diesel subsidies from december in an attempt to save billions of dollars and reduce its fiscal deficit. Subsidy 2012 2013 petroleum subsidy rm247 bilion rm 248 bilion 6 subsidy petrol and diesel provisions rm248 billion in 2013 rm1 per liter 083 cent per liter 063 cent per liter 080 cent per liter petrol subsidy diesel subsidy deductible to deductible to 7.
Total fuel subsidies in malaysia in 2013 were around myr 28bn which is around 28% of gdp in 2013 malaysia fiscal deficit was around 4% of the gdp in 2013 and government aims to reduce this to 3% by 2015 in the economic transformation program (etp. A citizens’ guide to energy subsidies in malaysia produced by the international institute for sustainable development and iisd’s global subsidies initiative.
Malaysia’s neighbouring country indonesia, which spent in the same year usd 101 billion on total subsidy, but which has a lower fuel subsidy per capita of only usd 4391.
The prices of fuel and sugar in malaysia will still be among the lowest in the region 7 this subsidy rationalisation will, according to estimates, allow malaysia to reduce government expenditure by more than rm 750 million in 2010 8. Kuala lumpur • malaysia plans to cut more subsidies and move billions of ringgit in government employee housing loans off its balance sheets to bolster its fiscal position, even as a growing scandal threatens prime minister najib razak's ability to implement potentially unpopular policies. Rationalising subsidies for malaysia’s future 1 to help malaysia maintain the strong growth it has achieved, the government has implemented difficult but long-needed economic reforms that will help malaysia become a developed and high-income nation. Fisheries’ subsidies reduce the cost of operation and generally motivate fishermen to do more fishing, hence, it is difficult to achieve conservation goals in fisheries fisheries is a complex matter in malaysia because fishermen use different types of fishing equipment.
Subsidy that had being implementing in malaysia not benefit to the person selected or person how really need based on my opinions government should take an effective action in order to control subsidy bill by creating a solution by using new method to distribute subsidy by giving coupon to the person or household who really need the subsidies.
Subsidy reform in malaysia was initiated in july 2010 by prime minister najib razak via a reduction in subsidies for fuel and sugar further cuts in subsidies for these and other products are planned over a three- to five-year period to strengthen government finances and improve economic efficiency.