While Malaysia’s monthly fuel subsidy bill had eased to around RM3 billion between June and August this year, down from nearly RM5 billion in March and April, the total fuel subsidy expenditure is still projected to be around RM40 billion for 2026, the ministry of finance has stated, reported The Star.
The moderation in fuel subsidy expense followed a sharp increase in global crude oil prices amid the ongoing conflict in the Middle East, which has placed considerable pressure on government finances, the finance ministry said.
“The government has faced significant fiscal pressure from the global supply crisis, which has led to higher subsidy expenditure, particularly for fuel and utilities. The conflict pushed global crude oil prices above US$120 per barrel, and Malaysia has not been spared the effects of this crisis,” the finance ministry stated in a written parliamentary reply.
Monthly subsidies for petrol, diesel and liquefied petroleum gas increased on nearly RM5 billion in March and April, up from around RM800 million in January and February, the ministry continued.
“The government’s subsidy burden has since moderated to approximately RM3 billion monthly from June to August 2026. Based on the latest projections, the government estimates that petroleum product subsidies for 2026 will amount to RM40 billion,” it said.
Last week, prime minister Datuk Seri Anwar Ibrahim said that Malaysians will continue to pay RM1.99 per litre for subsidised RON 95 petrol under the Budi Madani RON 95 programme (Budi95), even if the government fuel subsidy expenditure climbs to RM42 billion to RM45 billion annually.
In June, the ministry of finance told the parliament that 11.1 billion litres of fuel with a sales value of RM22.1 billion had been sold under the Budi Madani programme from the end of September last year until May 31, of which RM11.2 billion was the cost of subsidy borne by the government.
no brain! why persist on budi95?! when its just a branding, go google or survey urself! find the info on what the price of petrol was before bs on ur “to be fair” nonsense! In case u r lazy to be fair, the price during najib was once at rm1.60, so come out more excuse! i already know what bs u gonna come out next! To be fair that is how those blindly support ppl always find excuses to justify themselves
Kepla hotak! Unsubsidized Petrol all time high at RM 5.02! Rakyat asing all suffering!
This is ralyat money for the rakyat, why is PH stealing from rakyat by giving Rm4.42 Ron95 petrol after their promised was for Rm1.50 petrol.
Bapak Reformasi : All things Free
Bapak PMX : Semua Benda Kena Limit
Bagus
Good