No fuel hike for Malaysians, but foreigners will pay more for petrol

There are about four million foreigners in Malaysia enjoying about RM3 billion in subsidies, PM Anwar Ibrahim said.PHOTO: REUTERS

JOHOR BAHRU – Foreigners will need to pay more for fuel under the fuel rationalization exercise, said Malaysian Prime Minister Datuk Seri Anwar Ibrahim.

There are about four million foreigners in the country and they are enjoying about RM3 billion (S$912 million) to RM4 billion in fuel subsidies.

“There was a suggestion to increase the price of fuel and give subsidies to locals.

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“We have rejected this move. We will target the 5 percent who are ultra rich in Malaysia and also foreigners,” Datuk Seri Anwar said in his winding-up address at the PKR national congress.

He urged the public not to reject the fuel rationalization exercise, as most of the people in the country would not be affected, pointing out that Malaysia has one of the highest subsidy rates.

The Prime Minister also said that the government is prepared to review the implementation of the e-invoice system by the Inland Revenue Board (LHDN) to ensure it does not place an undue burden on small companies.

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The e-invoicing initiative began in August 2024 for companies with an annual turnover or revenue of more than RM100 million.

The second phase started on Jan 1, 2025 for businesses with annual sales of between RM25 million and RM100 million.

The third phase of the full implementation will begin on July 1, involving all types of businesses, including micro, small and medium enterprises. /dl