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Malaysia expands BUDI diesel subsidy transferability beyond family members

Prime Minister Anwar Ibrahim has announced that BUDI diesel subsidies can now be transferred to non-family recipients, broadening access to the fuel assistance programme. The government also unveiled a RM500 air travel subsidy for 7,095 new public university students nationwide.

LSN Malaysia · 16 September 2026

Malaysia expands BUDI diesel subsidy transferability beyond family members

The Malaysian government has expanded eligibility rules for its BUDI diesel subsidy programme, allowing beneficiaries to transfer their allocations to recipients outside their immediate family circle. The move aims to increase flexibility in how fuel assistance reaches those in need across the country.

Prime Minister Anwar Ibrahim made the announcement while unveiling additional support measures for higher education students. The government will provide RM500 air travel subsidies to 7,095 newly enrolled students at public institutions of higher learning throughout Malaysia.

The dual initiatives reflect the government's continued commitment to reducing living costs for Malaysian citizens and improving accessibility to tertiary education. The BUDI programme, which provides diesel fuel subsidies to eligible recipients, has been a key component of the government's cost-of-living assistance framework.

These measures come as the government seeks to balance fiscal sustainability with targeted support for vulnerable populations and students pursuing higher education. Officials indicated that the expanded transferability of diesel subsidies would be implemented through existing administrative channels.