Facing growing public frustration and the looming threat of mass protests, Malaysian Prime Minister Anwar Ibrahim has announced sweeping measures to ease the financial strain on citizens, including a one-off nationwide cash handout and cheaper fuel for eligible motorists.
Historic One-Off RM100 Payment for All Adults
In a special televised address on Wednesday (July 23), Anwar revealed that every Malaysian aged 18 and above will receive RM100 (S$30) in cash aid – marking the first time in the country’s history that such assistance is given to all adults.
The payment, to be credited via MyKad, will be available from August 31 until December 31 and can be used to purchase essential goods at over 4,100 participating supermarkets and grocery stores nationwide. The initiative is expected to benefit about 22 million people and cost the government RM2 billion.
Boost in Annual Cash Assistance Allocation
Anwar also announced that total allocations for cash assistance programmes, including Sumbangan Tunai Rahmah, will rise from RM13 billion this year to RM15 billion in 2025. He called the move “an unprecedented gesture of appreciation and support” as households face rising costs of living.
Targeted Fuel Subsidy at RM1.99 per Litre
As part of the government’s fuel subsidy restructuring, the retail price of RON95 petrol will drop to RM1.99 per litre for eligible motorists. The targeted subsidy will cover groups such as gig economy workers and licensed motorcycle riders aged 16 and above.
Foreign nationals and high-income earners will pay the market rate, currently around RM2.50 per litre. Anwar stressed that the existing blanket subsidy model, costing nearly RM20 billion annually, is no longer sustainable, and full implementation details will be revealed by the end of September.
Toll Hike Freeze on 10 Highways
To further ease the public’s financial burden, the government will defer planned toll hikes on 10 highways this year, including the Senai-Desaru Expressway, East Coast Expressway 2, and South Klang Valley Expressway. The move will cost the government RM500 million.
Additional Public Holiday for Malaysia Day
Anwar also declared an extra public holiday on September 15, ahead of Malaysia Day celebrations, in what he described as a gesture of unity and appreciation for the people’s resilience during tough economic times.
Protests Planned Despite Relief Measures
The announcements come just days before a planned large-scale protest on July 26 at Dataran Merdeka in Kuala Lumpur. Opposition leaders and civil society groups are organising the rally, which is expected to draw thousands, including former prime minister Dr Mahathir Mohamad, Bersatu president Muhyiddin Yassin, and PAS president Abdul Hadi Awang.
Earlier this month, more than 300 people joined a smaller protest described by organisers as a “warm-up” demonstration, calling for Anwar’s resignation over economic grievances such as the expanded sales and services tax on imported fruits and luxury goods.
PM Acknowledges Challenges Ahead
“I acknowledge the complaints and accept that the cost of living remains a challenge that must be addressed, even though we have announced various measures thus far,” Anwar said in his address. He confirmed that a new initiative to assist those in poverty will be launched on Thursday.