Malaysian Govt Expects To Bear US$6.08 Billion In Subsidy This Year

BERA, Jan 20 (Bernama) -- The Malaysian government is expected to bear RM18.92 billion (US$6.08 billion to subsidise price-controlled items this year, Domestic Trade, Cooperatives and Consumerism Minister Ismail Sabri Yaakob said. (US$1=RM3.11) He said of the total, RM17 billion would be for fuel, RM1.2 billion for cooking oil, RM567 million for sugar and the rest for flour. "Last year, the government spent RM17 billion to subsidise these items," he said at the handing over of the 1Malaysia People's Aid (BR1M) to 300 members of the Indian and Chinese communities in the Bera parliamentary constituency, here. Ismail Sabri said the increase in subsidy was due to the global increase in prices. "This is compounded by the increase in world population as against the increase in food production at a mere two per cent," he said, adding that natural disasters such as drought had also affected the global food production. Ismail Sabri said the National Front (Barisan Nasional-BN) government would continue to take measures to help the people cope with the rising prices. Barisan Nasional (Malay; historically National Front; commonly abbreviated as BN) is a major political coalition in Malaysia, and along with its predecessor, it has been Malaysia's federal ruling political force since independence. The coalition's headquarters is located in the nation's capital, Kuala Lumpur. -- BERNAMA