MOF: Diesel price to drop to RM2.10 per litre from July 2026 under MyKad‑based subsidy mechanism

KUALA LUMPUR, June 21 — The subsidised diesel price for Malaysians will fall to RM2.10 per litre starting July 2026, following an announcement by Prime Minister and Finance Minister Datuk Seri Anwar Ibrahim in Bintulu today.

According to a press statement issued by the Ministry of Finance and shared on social media by Communications Minister Fahmi Fadzil, the price adjustment is part of the Madani government’s plan to standardise and target diesel subsidies nationwide.

The ministry said the new mechanism will rely on MyKad verification to ensure that only eligible Malaysians receive subsidised fuel, stating that “diesel subsidies will be targeted only to Malaysians through MyKad verification to ensure that public funds are protected and ineligible parties must pay the unsubsidised price.”

The statement said the reform mirrors the approach used for BUDI Madani RON95 (BUDI95) and will unify both the price and method of subsidy distribution across the country.

The ministry said the move is necessary to curb significant leakage arising from the wide gap between subsidised and unsubsidised diesel prices.

Under the new structure, eligible Malaysians will pay RM2.10 per litre, while the unsubsidised price remains RM4.37 per litre in Peninsular Malaysia and Sarawak.

The ministry said Finance Minister II Datuk Seri Amir Hamzah Azizan will provide further details tomorrow.