Finance minister: Mechanism for targeted petrol subsidy being tested, up to six months of study before roll-out

KUALA LUMPUR, July 19 — The mechanism for targeted petrol subsidies is currently in the early stages of testing, said Finance Minister Datuk Seri Tengku Zafrul Abdul Aziz.

“The development and testing of a targeted subsidy system is expected to take a period of between three and six months before it is ready for implementation nationwide,” he told Dewan Rakyat today. “In line with this approach, the government will not increase the price of petrol to reflect the market price without subsidies given its impact on inflation, even though the RON95 price of RM2.05 per litre is approximately 50 per cent that of the real price without subsidies.

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