Targeted petrol subsidy may be deposited into recipients' bank account

KUALA LUMPUR, April 10 (Bernama) -- The government is mulling depositing the targeted petrol subsidy straight into the bank account of the B40 low-income recipients, the Dewan Rakyat was told today.

Domestic Trade and Consumer Affairs Minister Datuk Seri Saifuddin Nasution Ismail said 90 per cent the recipients of the Cost of Living Allowance (BSH), who are also eligible for the targeted petrol subsidy, are having the BSH deposited straight into their bank account.

The remaining 10 per cent of the BSH recipients, most of whom live in the interior, will be assisted in opening a bank account, he said when replying to a supplementary question from Datuk Seri Ismail Sabri Yaakob (BN-Bera) who wanted to know the method of disbursing the target petrol subsidy, including whether a card or coupons will be used.

Saifuddin Nasution explained that the pump price of petrol will be the same for everyone but the recipients of the targeted petrol subsidy will have received the subsidy deposited into their account.

He said the government is also looking into the use of a card as a means of identifying the recipients, and the information in the card will also be useful when the government considers a targeted subsidy for other consumer goods in the future.

The minister also said that the Finance Ministry has finalised the selection of a vendor to develop the system for implementation of the subsidy programme.

The targeted petrol subsidy is one of the measures outlined in Budget 2019 to reduce the cost of living for B40 households, which receive a monthly income of below RM3,860.

-- BERNAMA