On 23 July 2025, Malaysia’s Prime Minister Anwar Ibrahim addressed the nation in a special announcement and revealed several measures to alleviate the cost of living.
Prime Minister Anwar has previously mentioned that these measures were to show appreciation to the citizens of Malaysia ahead of the upcoming National Day on 31 August 2025.
Here are 4 things you need to know from Prime Minister Anwar’s announcement.
One Off RM100 Cash Aid For All
In his special address, Prime Minister Anwar announced that all Malaysians aged 18 and above will receive a one-off RM100 cash aid through their identification card, MyKad.
Eligible individuals can start using the cash aid from 31 August 2025 to 31 December 2025 to pay for essentials at over 4,100 shops and supermarket outlets including 99Speedmart, Mydin and Econsave.
This cash aid is disbursed under the Sumbangan Asas Rahmah (SARA) programme, which offers cash aid to lower income households and individuals. The one off RM100 cash aid marks the first time cash assistance is distributed to all adults in the nation. The cash aid is expected to benefit 22 million people with an allocation of RM2 billion, effectively raising total allocation to SARA and Sumbangan Tunai Rahmah (STR), another cash aid programme, from RM13 billion to RM15 billion.
Read Also: Guide To Applying For STR Cash Aid For Low And Middle Income Households In Malaysia
Lower RON95 Petrol Price AT RM1.99
Prime Minister Anwar announced that the price of RON95 petrol will be reduced to RM1.99 per litre when the petrol targeted subsidy plan is implemented.
Currently, the RON95 petrol is kept at a fixed price of RM2.05. The RON95 petrol is the most common petrol used in Malaysia and is subsidised by the government.
Prime Minister Anwar added that the government will announce more details on the upcoming RON95 targeted subsidy plan in September 2025. The government had previously spent around RM20 billion a year on RON95 petrol subsidy alone in 2023 and 2024. The targeted subsidy plan is expected to ensure that national resources benefit the citizens and prevent leakages.
Read Also: Fuel Prices In Malaysia: What’s The Difference Between RON95, RON97 And RON100
Maintained Highway Toll Rates
As part of the appreciation announcement, toll rates will be maintained without hikes on 10 highways, which include the East Coast Expressway 2, South Klang Valley Expressway, Butterworth Outer Ring Road, Senai-Desaru Expressway and Kuala Lumpur-Putrajaya Expressway.
The government will cover the costs at RM500 million. Previously, toll rates were expected to be implemented this year.
Expanded Rahmah Madani Sales
The government will increase the allocation for Rahmah Madani Sales programme from RM300 million to RM600 million.
The Rahmah Madani Sales is a year-round sales programme that sells essential goods to the public at 10% to 30% lower than market prices. The essential items include chicken, fish and seafood, eggs, refined white sugar, bottled cooking oil, wheat flour, rice, vegetables/fruits, personal care items, household cleaning products, diapers, school supplies, medications, and other daily necessities such as food and non-food items.
The Rahmah Madani Sales programme is conducted throughout the country at certain locations and have drawn crowds for its affordable prices.
With the additional funding, there will be an increase in locations and frequency of the Rahmah Madani Sales so that more people can access essential items at affordable prices.
Prime Minister Anwar’s special announcement consisted of various measures to tackle living costs including cash aid and continued subsidy measures. Additionally, Prime Minister Anwar also announced an extra public holiday on 15 September 2025, a day prior to Malaysia Day on 16 September 2025. The extra public holiday is a tribute to the important day when Malaysia was formed and serves as a reminder to the citizens of the great historical moment.
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