THE diesel subsidy rationalisation programme implemented in 2024, along with the more recent RON95 initiative, marks a bold step in Malaysia’s journey toward more responsible fiscal management.
“By transitioning from a universal subsidy to a targeted framework, the government has addressed long-standing economic distortions while safeguarding the welfare of the rakyat through initiatives such as Budi Madani (streamlined assistance for targeted diesel users) and Budi95 (for RON95),” the government said on balancing fiscal reform and social protection, published in its Fiscal Outlook 2026 report.
