PRIME MINISTER Datuk Seri Anwar Ibrahim today announced a comprehensive relief package, stating, “With full sense of responsibility, I announce several immediate efforts to alleviate the cost of living burden and as a gesture of appreciation and celebration for the people.”
Despite overall inflation falling to 1.1 per cent in June — the lowest in 52 months — Malaysian households continue to face elevated food prices, prompting the government to introduce a series of immediate interventions aimed at easing living costs.
RM100 One-Off Aid for All Adults
To mark National Day on 31 August 2025, all Malaysian citizens aged 18 and above will receive a one-off RM100 credit through their MyKad, under the Sumbangan Asas Rahmah (SARA) scheme.
“This assistance is provided individually, not by household. For example, a household comprising husband, wife, and two adult children will receive RM400,” said Anwar.
The funds can be spent between 31 August and 31 December 2025 on essential goods at over 4,100 locations, including Mydin, Lotus’s, Econsave, 99Speedmart and local grocery stores across all districts.
The initiative is expected to benefit 22 million individuals, with a total allocation of RM2 billion. “This marks the first time in our history that cash assistance is extended to all adult citizens,” said Anwar. The combined allocation for STR and SARA will now reach RM15 billion for 2025.
Recipients who do not require the aid are encouraged to leave the credit unspent; unutilised balances will be redistributed to support vulnerable groups in 2026.
Public Holiday for Malaysia Day
To commemorate the formation of Malaysia, 15 September 2025 — a Monday — has been declared a national public holiday. “This holiday is in appreciation of the unity and uniqueness of Malaysia’s formation and to encourage family bonding and domestic tourism,” said Anwar.
Doubling Rahmah Sales Funding
The Rahmah MADANI sales programme will be expanded, with its RM300 million budget doubled to RM600 million. This will enable broader nationwide coverage — including all 600 state constituencies — and a wider selection of discounted goods.
Toll Hike Deferred for 10 Highways
Planned toll rate increases for ten highways will be postponed, with the government absorbing more than RM500 million in costs. Highways affected include the Senai–Desaru Expressway (SDE), East Coast Expressway 2 (LPT2), South Klang Valley Expressway (SKVE), Butterworth Outer Ring Road (LLB), and Maju Expressway (MEX).
“This decision means the public will continue to enjoy the current toll rates,” said Anwar.
Targeted Fuel Subsidies and RON95 Price Cut
The government reiterated its commitment to targeted subsidies to minimise leakages and protect low- and middle-income groups.
“Rest assured, as with the electricity subsidy targeting, the government guarantees ordinary citizens will not be affected,” said Anwar.
A new targeted petrol subsidy scheme will be implemented by the end of September 2025. Under this approach, Malaysian citizens will enjoy a reduced RON95 petrol price of RM1.99 per litre — down from an unsubsidised rate of approximately RM2.50.
“This will benefit around 18 million drivers and motorcyclists, including youths as young as 16 and gig workers,” Anwar said.
Foreign nationals, however, will be required to pay market rates without subsidy.
“In 2023 and 2024, subsidies for RON95 alone cost nearly RM20 billion annually,” he added, describing the reforms as necessary to optimise national resources.
Reduced Electricity Bills for Most Households
Anwar also addressed claims that July’s revised electricity tariffs had increased household costs. He rejected these assertions, stating, “Eighty-five per cent of domestic users saw reduced electricity bills in July 2025 compared to the first half of the year — by as much as 14 per cent.”
The measures announced mark one of the government’s most extensive direct interventions in response to cost-of-living pressures ahead of National Day.
In what was described as a meaningful gesture reflecting the government’s commitment to the people’s welfare and their continued support for national reforms.
Anwar expressed hope that the upcoming incentives will bring broad benefits and serve as a reflection of a shared commitment to building a fairer and more prosperous future.
Last week, Prime Minister Anwar Ibrahim hinted at making a major announcement as a gesture of extraordinary appreciation for the people — a move that has sparked widespread speculation and heightened public expectations.
Anwar had previously indicated that the announcement could be made on Monday or Tuesday, and it is widely expected to relate to efforts to address the rising cost of living.
Speaking on Monday at the monthly assembly of the Prime Minister’s Department, Anwar had hinted at what he termed “an extraordinary gesture” to be revealed on either Tuesday or Wednesday, but provided no further details at the time. - July 23, 2025
