In a live televised address to the nation today, Prime Minister Datuk Seri Ismail Sabri has reiterated that the ongoing subsidy on polybag packet cooking oil will continue, contrary to initial speculation.
Touching upon the confusion stemmed surrounding the pricing of cooking oil as of late, he said that palm oil used for cooking sold in packets of 1kg will still be sold at the subsidised price of RM2.50, as opposed to the current market price of RM9 per kilo.
Subsidy on polybag packet cooking oil will continue, but not for bottled cooking oil
Pointing out that the subsidy program on polybag cooking oil has been ongoing since July 2007, he adds that the current allocation for the subsidy this year amounts to RM4 billion, which is an increase over the RM2.2 billion in 2021, and RM500 million from 2020. The subsidy figure may even be potentially increased, should palm oil prices rise.
With that being said however, Sabri has also announced that the temporary subsidy on 1kg, 2kg, 3kg, and 5kg bottled cooking oil will officially come to an end by 1st July 2022.
Initially introduced in August of last year during the midst of the pandemic, he explains that the move had been intended to alleviate the burden of the rising cost of living while Malaysians remained at home in lockdown. The temporary subsidy was meant to only last a period of three months from its initial introduction, but has been repeatedly renewed until now.
Additional financial aid to be disbursed via Bantuan Keluarga Malaysia
Additionally, an increase in financial assistance from the Bantuan Keluarga Malaysia (BKM) scheme will be introduced to help combat the rising prices of chicken and eggs after the removal of ceiling prices on both items, which will commence on 1st July 2022.
Eligible recipients from the B40 category will receive an additional RM100 (for families), or RM50 (for single individuals), as part of the second phase of payment disbursement.