10% decrease in RON95 subsidies could narrow fiscal deficit by 0.2% - MARC

KUALA LUMPUR: Malaysian Rating Corporation Bhd (MARC) estimates that a 10 per cent decrease in RON95 fuel subsidies could narrow the fiscal deficit by around 0.2 per cent of gross domestic product (GDP).

In a statement today, it said the GDP growth and consumer spending should also facilitate subsidy retargeting towards beneficial welfare outcomes, along with the current encouraging signs in the labour market.