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
New: Gift this subscriber-only story to your friends and family

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.

Already a subscriber? 

Read the full story and more at $9.90/month

Get exclusive reports and insights with more than 500 subscriber-only articles every month

Unlock these benefits

  • All subscriber-only content on ST app and

  • Easy access any time via ST app on 1 mobile device

  • E-paper with 2-week archive so you won't miss out on content that matters to you

Join ST's Telegram channel and get the latest breaking news delivered to you.