KUALA LUMPUR, June 13 — A former top civil servant has called on the government to rethink its decision to provide up to RM8 billion in fuel and cooking oil subsidies this year, saying this will only lead to smuggling of the commodities to some neighbouring countries.
“If the price differentials are big, this will be an opportunity to smuggle the products out and make a quick profit from the cross-border trade by land and sea,” he said in a statement.He pointed out that the disadvantage of a price subsidy was that even the high-income group would benefit. “The best way to help the poor is to subsidise their income without wasting government funds,” he said.
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