Malaysia's subsidies a dilemma amid soaring cost of living

The Malaysian government subsidises cooking oil, petrol, diesel, flour, electricity, chicken and eggs among others. PHOTO: BLOOMBERG
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KUALA LUMPUR - Malaysia's subsidy bill this year is projected to hit RM80 billion (S$25 billion), the largest in the country's history, as the government struggles to fight soaring inflation.

While the government is still willing to foot the bill to ease concerns over the surging cost of living, it says smugglers, foreigners and the wealthy are benefiting and taking advantage of subsidised goods.

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