27th August 2025 - 2 min read
The government will fully enforce the requirement for private healthcare facilities to display drug prices starting January 2026. Health Minister Dzulkefly Ahmad confirmed this in an affidavit submitted to the High Court, explaining that the rule is currently in an education phase.
During this phase, which lasts until the end of 2025, clinics that do not comply will not face immediate penalties. Instead, they will receive warning letters and guidance on how to implement the rule. The approach is intended to give clinics sufficient time to adjust their systems before full enforcement takes effect.
The policy is facing a legal challenge. Last month, seven health groups and a doctor filed for judicial review, seeking to quash the government’s decision to mandate drug price displays.
The applicants argue that Section 10 of the Price Control and Anti-Profiteering Act 2011 (Act 723) does not apply to drugs administered by health practitioners. They contend that such matters fall under Section 19 of the Poisons Act 1952 (Act 366). They further claim that clinics run by registered health practitioners should not be classified as suppliers of “goods and services” under Act 723.
The High Court has set 4 September for case management.
Dzulkefly outlined the background to the policy, noting that concerns about high drug prices in private clinics have been raised repeatedly over the past two decades, both by the public and by Members of Parliament.
The minister said the government conducted price comparison studies with other countries and held stakeholder engagements to explore potential solutions. A public consultation was also carried out in 2023.
According to Dzulkefly, most stakeholders agreed that displaying drug prices is the most effective way to promote transparency. The measure would enable patients to make better-informed decisions about their treatment and spending.
The government has positioned the drug price display rule as part of a broader effort to strengthen consumer rights and improve transparency in healthcare costs. With the phased approach in place, clinics are expected to comply by January 2026, when full enforcement begins.
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Samuel writes about personal finance and financial news, focusing on how banking updates, policies, and promotions affect everyday money decisions. He enjoys making complicated financial topics easier to follow. Outside of writing, he spends his time watching TV shows and occasionally convincing himself he will only watch one episode.
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