KUALA LUMPUR: The federal government’s aid announcements, including a RM100 cash assistance and fuel subsidy adjustments, are seen as efforts to reinforce public confidence and provide relief amid rising living costs.
Dr Mazlan Ali, a lecturer at the Faculty of Social Science and Humanities, Universiti Teknologi Malaysia said the measures were timely and strategic, especially as the opposition gears up for a planned rally on July 26 aimed at toppling Prime Minister Datuk Seri Anwar Ibrahim.
“This is part of the Madani government’s approach to deliver a feel-good factor and uplift the people’s mood.
“It also serves as a counterweight to the opposition’s growing momentum,” he told Sarawak Tribune on Wednesday (July 23).
He noted that the RM100 cash handout for all citizens aged 18 and above, and the drop in RON95 fuel price to RM1.99 per litre, will have significant financial implications for the government, but are feasible due to the country’s current economic standing.
“Anwar dares to announce these incentives because the economy is in good shape. We’ve seen increased incentives, reduced deficits, and stronger subsidies in the past budget, which indicates a healthy financial position.
“Despite global economic challenges, Malaysia remains steady, with smooth economic flow and rising investments,” Mazlan added.
On the additional public holiday declared for Sept 15, he said the move not only allows a four-day break for Malaysians but is also expected to stimulate domestic spending.
“This will enable families to spend time together and boost domestic tourism. The RM100 aid is likely to be spent locally, which will indirectly support the economy.”
He also stressed that the government is aware of its fiscal capabilities and is confident that these expenditures remain within sustainable limits.