KUALA LUMPUR: Wanita Umno has called on the government to review its subsidy rationalisation programmes, proposing a more holistic approach in its implementation.
The women’s wing chief Datuk Seri Dr Noraini Ahmad suggested that the government undertake a comprehensive review on how subsidies are implemented to provide long-term relief to both the B40 and M40 groups amid rising living costs.
“We need an approach that not only lifts people out of extreme poverty but also supports the M40 group, who are considered ‘too rich’ for assistance yet ‘too poor’ to live comfortably in today’s economy.
“While optimising government expenditure is essential, we must recognise that reducing subsidies significantly burdens an already struggling population.
“We propose a comprehensive review, adopting a more prudent and gradual approach to the subsidy rationalisation,” she said during her policy speech at the Wanita Umno meeting during the 2024 Umno General Assembly here on Thursday (Aug 22).
Noraini also highlighted the vital role of micro, small, and medium enterprises, as well as the small-scale agricultural industry and informal rural economy, in driving the national economy, emphasising that their needs should not be ignored.
“Wanita Umno welcomes the government’s efforts such as Bantuan Tunai Rahmah but based on our experience on the ground, it is a small drop of water in a desert that is expanding,” she added.
On July 12, the Economy Ministry said the government is still studying and reevaluating the subsidies and assistance provided to the people, including that for RON95 petrol.
The recent diesel subsidy rationalisation initiative that was enforced starting June 10 aims to strengthen the nation’s fiscal position and reduce leakages due to smuggling activities.
