Top-earning Malaysians will soon be hit with higher expenses come next year, as the country’s government seeks to roll back on subsidies for RON95 petrol, education and healthcare, in a bid to free up monies for other purposes.

This comes as Prime Minister Anwar Ibrahim unveiled Malaysia’s fifth consecutive record budget of RM421 billion (S$127.8 billion) on 18th October. The budget is also boosted by a RM13.5 billion increase, largely driven by salary revision bonuses that will raise civil servant pay for the first time in over a decade.

But how effective will these measures be in balancing the country’s fiscal position and boosting the economy?

On this episode of Morning Shot, Shannon Teoh, Malaysia Bureau Chief of The Straits Times and Dr Oh Ei Sun, Principal Adviser at the Pacific Research Center of Malaysia & Senior Fellow of the Singapore Institute of International Affairs share their insights.

Presented by: Audrey Siek
Produced & Edited by: Yeo Kai Ting (ykaiting@sph.com.sg)
Photo credits: EPA-EFE/Malaysia’s Department of Information