Prime Minister Datuk Seri Anwar Ibrahim has said that the government is looking into using cash transfers to provide subsidies to the people. This is in a bid to prevent further leakages in offering such benefits to those who are deserving of it.

That said, Datuk Seri Anwar – who is also the Finance Minister – stated that this method can only be implemented for specific subsidies, and not as a blanket mechanism. “This (cash transfer) approach has been considered in several issues, and we will announce this more extensively later,” he said in response to a question asked during a Parliament session on whether the government is planning to provide subsidies directly to the people through cash transfers.

On the topic of targeted subsidies and how it would affect foreign workers in Malaysia, Anwar stated that there are policies in place to ensure that the government is providing subsidies in a fair and reasonable manner.  “I think foreign workers come here to earn a salary, not to receive subsidies. We do have a policy to provide reasonable and fair assistance to everyone, including non-citizens, but it is not necessary for any country to provide subsidies to foreign residents,” he said.

During the tabling of Budget 2024, Datuk Seri Anwar had shared that the government will begin implementing targeted subsidies in phases starting from next year. The savings gained will then be channelled to increase the cash aid given under the Sumbangan Tunai Rahmah (STR) scheme to assist those who truly need assistance.

(Source: Malay Mail)

• TAGS:
• Blanket Subsidies
• Datuk Seri Anwar Ibrahim
• Government Subsidies
• Targeted Subsidies
• Targeted Subsidy Mechanism