PM: Malaysia will not reintroduce GST

KUALA LUMPUR: Malaysia has no plans to reintroduce a goods and services tax (GST) or any other broad-based consumption tax, Prime Minister Anwar Ibrahim said on Tuesday.

The government will instead look to reduce subsidies enjoyed by the wealthy, Anwar, who is also finance minister, told parliament.

Anwar, who took office in November, has ordered a review of Malaysia's subsidy programme, prioritising aid for low-income groups, amid high government debt levels and rising living costs.

Malaysia offers subsidies to all citizens, with transport fuel and cooking oil accounting for the biggest expense. It also subsidises electricity, sugar and flour.

Government debt and liabilities currently stood at 1.5 trillion ringgit ($114.86 billion), or about 82% of GDP, Anwar said.

"We need to find ways to increase revenue and conduct a public expenditure review without burdening the people," he said.

Anwar is expected to present a revised government budget on Feb. 24. - Reuters

Follow us on our official WhatsApp channel for breaking news alerts and key updates!

Anwar Ibrahim , GST , Budget 2023 , subsidy


Next In Business News

Gobind: Appointment of new DNB board members marks major milestone in 5G network restructuring
Microsoft CEO Satya Nadella's visit to Malaysia scheduled on May 2
ViTrox optimistic on semiconductor sector growth
Pavilion REIT’s 1Q net profit rises to RM83.2mil
Martijn Rene van Keulen to helm Heineken Malaysia from July 1
OCK proposed RM500mil ICP programme
Profit-taking in the market, KLCI down 0.14%
EPF balancing between retirement mandate and supporting members' economic survival
Asian stocks hit by US tech slide, FX subdued
CelcomDigi emphasises its significant role in protecting customers from AI-related risks

Others Also Read