KUALA LUMPUR: Prime Minister Datuk Seri Anwar Ibrahim today unveiled a series of initiatives aimed at easing the rising cost of living, from direct cash aid to targeted subsidies.
Here’s what Malaysians can look forward to following the announcement.
1. RM100 cash (Sara) aid for all adult citizens
All Malaysians aged 18 and above will receive a one-off RM100 credit via their MyKad under the Sumbangan Asas Rahmah (Sara) programme.
The aid will be usable from Aug 31 to Dec 31 2025.
It can be spent on essential goods at over 4,100 outlets, including major chains like Mydin, Lotus’s, Econsave, 99Speedmart, and participating sundry shops nationwide.
The aid is individual-based, not household-based.
For instance, a family of four adults will receive RM400.
22 million people are expected to benefit from this payout, with a RM2 billion allocation.
This brings total Sumbangan Tunai Rahmah (STR) and Sara allocations for 2025 to RM15 billion — the highest ever.
2. RON95 petrol price to be lowered to RM1.99/litre
Under a new targeted fuel subsidy mechanism, Malaysians will enjoy RON95 petrol at RM1.99 per litre.
This is expected to benefit around 18 million drivers and riders, including youth and gig workers.
Full details will be announced by the end of September.
Foreigners will not enjoy subsidised prices and must pay market rates.
Despite global oil prices dropping, unsubsidised RON95 still costs around RM2.50 per litre — much higher than the new subsidised rate.
3. Toll hikes postponed on 10 highways
Planned toll rate increases on 10 highways have been deferred.
The government will absorb over RM500 million in compensation costs.
Affected highways include:
-Senai-Desaru Expressway (SDE)
-East Coast Expressway 2 (LPT2)
-South Klang Valley Expressway (SKVE)
-Butterworth Outer Ring Road (LLB)
-KL-Putrajaya Expressway (MEX)
4. Targeted subsidies, not blanket ones
The government will continue restructuring electricity and fuel subsidies to ensure they reach only eligible groups.
85 per cent of domestic users already saw lower electricity bills in July this year following tariff reforms.
The aim is to reduce leakage and wastage, while optimising national resources to support those who need help the most.
These measures, Anwar said, reflect the government’s determination to protect the public from rising costs while managing public funds responsibly.
5. Sept 15 declared a public holiday
To celebrate Malaysia Day, Monday, Sept 15, 2025, will be a special public holiday.
The move is meant to strengthen national unity and encourage Malaysians to reconnect with family and explore local destinations.
6. More Jualan Rahmah Madani programmes
The government will double the allocation for the Jualan Rahmah Madani programme from RM300 million to RM600 million.
This will increase the frequency and coverage of subsidised sales in all 600 state constituencies.
A wider variety of goods will be offered to give consumers more choices.
More announcements can be expected as implementation rolls out in phases.
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