Govt considers depositing petrol subsidy into recipient’s bank account

Those eligible for petrol subsidy may get the money upfront in their bank accounts. (Bernama pic)

KUALA LUMPUR: The government may deposit petrol subsidy into the bank accounts of B40 low-income recipients, the Dewan Rakyat was told today.

Domestic Trade and Consumer Affairs Minister Saifuddin Nasution Ismail said 90% of the recipients of the Cost of Living Allowance (BSH), who are also eligible for the targeted petrol subsidy, receive the money through their bank accounts.

He said the remaining 10% of BSH recipients who live in the interior will be assisted in opening a bank account.

Saifuddin was replying to a supplementary question from opposition leader Ismail Sabri Yaakob (BN-Bera) who wanted to know the method of disbursing the target petrol subsidy, including whether a card or coupon will be used.

Saifuddin said the government is also looking into introducing a card to identify recipients, adding that information contained in the card could help the government in giving subsidies for other consumer goods in the future.

He said 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 earn a monthly income of below RM3,860.