KUALA LUMPUR: The finance ministry will consider using an app to channel subsidies to target groups more efficiently, says minister Tengku Zafrul Aziz.
However, he said, it was not the right time to implement targeted subsidies as the country’s economy was still recovering while inflation remained low compared to other countries, Bernama reported.
Tengku Zafrul said the government did not want a situation where the execution of the initiative was not done properly.
“The implementation of the targeted petrol subsidy is also under review,” he was quoted as saying.
He also said whether or not targeted subsidies were implemented would depend on the economic conditions and crude oil prices.
“If the (market) price of oil at that time is low, maybe there’s no need for targeted subsidy as the government can continue to give the subsidy.”
Tengku Zafrul also said the additional dividend of RM25 billion announced recently by Petronas would be used for government expenditure, besides covering the subsidy costs which were expected to reach up to RM80 billion this year.