Subsidy adjustments forecast in Budget 2023

The pre-budget statement did not mention the prospects of the reimplementation of the goods and services tax (GST).Given the sensitivity, CGS-CIMB Research does not expect the government to commit to the GST, although chances are that there could be a return of the tax in one form or another.

PETALING JAYA: Targeted subsidies may be in the offing in view of the insufficient revenue derived from commodities.

To this end, analysts concurred there could be adjustments in the subsidy mechanism to finance the surge in subsidies in the upcoming Budget 2023.