No fuel hike for Malaysians, but foreigners will pay more

JOHOR BARU: Foreigners will need to pay more for fuel under the fuel rationalisation exercise, says Prime Minister Datuk Seri Anwar Ibrahim.

There are about four million foreigners in the country and they are enjoying about RM3bil to RM4bil in fuel subsidies.

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

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

He urged the public not to reject the fuel rationalisation 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.

The e-invoicing initiative began in August 2024 for companies with an annual turnover or revenue of more than RM100mil.

The second phase started on Jan 1 this year for businesses with annual sales of between RM25mil and RM100mil.

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