Its chief, Dr Akmal Saleh, said having more targeted subsidies is a crucial move even as the nation faces global economic uncertainties, as it allows Putrajaya to channel funds saved into aid for those really in need.

He added that the rich would not be heavily affected by the removal of the fuel subsidies as they could afford to absorb the added costs.

“So it would be better if we take the T20’s subsidies and channel it back to the B40 and M40. If one spends between RM200 and RM400 a month on the 400 litres of subsidised petrol, that’s nothing for the rich.

“But this RM200 to RM400 means a lot for the B40 and M40. That’s why among our proposals is to ask for fuel subsidies to be rationalised further and targeted to those who really need them,” he said.

Akmal, a Melaka executive councillor, was speaking at a press conference after an economic roundtable organised by Umno Youth at the World Trade Centre Kuala Lumpur.

Currently, RON95 petrol is subsidised at RM1.99 a litre for all Malaysians with a valid driving license, capped at 200 litres a month.

In East Malaysia, subsidised diesel is sold at RM2.15 per litre, compared with RM5.17 a litre in Peninsular Malaysia.

Akmal said a total of 25 resolutions would be presented at the next Umno political bureau and Supreme Council meetings, including a proposal to revive the goods and services tax (GST) at 3% initially.

Earlier, ex-Umno Youth chief Khairy Jamaluddin and former Treasury secretary-general Irwan Serigar Abdullah talked about bringing back the tax scheme, with the latter saying Putrajaya could have earned nearly RM100 billion in revenue if GST had never been scrapped.