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Malaysian PM Offers Cash Assistance to All Citizens After Threats of Protests Over High Living Costs

Kompas

Indonesia

Wednesday, July 23


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KOMPAS.com - Prime Minister Malaysia Anwar Ibrahim will distribute direct cash assistance (BLT) to all citizens over the age of 18.

The announcement was made ahead of a demonstration planned for Saturday (26/7/2025) in the Malaysian capital, Kuala Lumpur.

The protests called for Anwar to step down over worsening price hikes and his failure to deliver promised reforms, among other issues.

Anwar added that additional initiatives to help the poor would be announced on Thursday (24/7/2025).



Aid will be distributed starting August 31, 2025

On Wednesday (23/7/2025), Anwar announced that all Malaysians aged 18 years and above will receive BLT of RM100 or around Rp. 385,500 which will begin to be distributed on August 31, 2025.

He also said that the government would allocate a total of RM15 billion or around Rp 57.8 trillion for cash assistance in 2025, up from the initial budget of RM13 billion.

This assistance of 100 Malaysian Ringgit was provided in response to public concerns about the high cost of living.

On the other hand, police estimate that between 10,000-15,000 people will attend the demonstration on Saturday (26/7/2025) organized by the opposition parties.

"I acknowledge the complaints and accept that the cost of living remains a challenge that must be addressed, despite the various measures we have announced so far," Anwar said, as quoted by CNA on Wednesday.

He also realized that the burden of life was getting heavier, even though various policies had been launched by the government.

This is because the Anwar government has taken a number of steps this year to increase state revenue and productivity.

Some of these include raising the minimum wage, raising electricity tariffs for large users, and imposing new sales taxes on certain types of imports and luxury goods.

Anwar stated that these policies were aimed primarily at large companies and wealthy individuals.

However, critics worry that these cost increases will ultimately be passed on to the public, including those on low and middle incomes.

Meanwhile, Kenanga Investment Bank economist Muhammad Saifuddin Sapuan said cash transfers and subsidy measures were needed to boost domestic demand, amid external headwinds stemming from ongoing global uncertainty.

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