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Malaysia abandons fuel subsidy restructuring plan

According to Malaysia’s Domestic Trade Minister Ismail Sabri Yaakob, Malaysia has decided not to proceed with restructuring its fuel subsidy system due to opposition from the public. The government had previously pledged to reduce subsidy payouts to 20.9 billion ringgit (US$6.25 billion) in 2010 from 24.5 billion ringgit (US$7.33 billion) in 2009, although in February it was reported to be seeking simpler ways to implement the subsidy mechanism, after scrapping the proposed tiered fuel subsidies scheduled to be implemented from May 1. (March 4, 2010)