Malaysia cuts fuel subsidies to trim budget deficit, fund welfare

KUALA LUMPUR : Malaysia's government said on Monday it would cut fuel subsidies for the first time in nearly two years to save RM3.3 billion (S$1.3 billion) annually as part of crucial budget reforms.

Prime Minister Najib Razak said the reductions are needed to trim the budget deficit and strengthen economic fundamentals to boost investor confidence.



Datuk Seri Najib, who is also finance minister, said the government will cut the gasoline subsidy by 20 sen (7.6 Singapore cents) to 63 sen a litre and diesel by 20 sen to 80 sen a litre from Tuesday.

Malaysia spends RM24.8 billion a year on fuel subsidies. The reductions will trim that bill by RM1.1 billion for the four months through December and RM3.3 billion next year. Mr Najib said savings from the subsidy cut will help fund handouts for people on low incomes, which will be announced in the 2014 budget in October.

For more news visit our page : Magazine, Urdu News, asianaffairs

 world urdu news        News magazine    current issues

Whole middle east           Political magazine             Social affairs

Related tags:

Latest news, world news, current affairs, breaking news, arab country news, daily news, Islamic news, india news, Pakistan news, , india Pakistan news, current news, news headlines, Latest World News,Articles,

Latest news, latest urdu news, world news, current affairs, breaking news, arab country news, sport news, cricket news, daily news, Islamic news, india news, Pakistan news, india Pakistan news, current news,Current affairs, Economic Affairs,Islam and Human Rights, Islam and Politics , Islam and the West, Muslim Media, Islamic Society, Islamic World,Latest World News,  breaking news ,Top Breaking News, Current Affairs, daily news, recent news, news headlines