KUALA LUMPUR: The government is committed to balancing revenue growth with prioritising citizens' wellbeing by taking proactive steps to ease the cost of living.
Deputy Finance Minister Lim Hui Ying said the government has taken a cautious approach and considered various mechanisms to minimise the impact on citizens' cost of living.
She added that, in the coming period, the government expects prices and the cost of living to remain at a controlled level.
"The government understands and is deeply concerned about the burden of the cost of living, especially given the current challenging economic climate.
"Measures such as introducing taxes and changes to the rate and scope of SST (sales and services tax) are part of efforts to increase national revenue to ensure sustainable national development and strengthen fiscal standing.
"We acknowledge that any changes to taxes and important sectors such as logistics and fuel may affect prices of goods. However, the government has taken a cautious approach and considered various mechanisms to minimise the impact on the cost of living for citizens," she said in the Dewan Rakyat.
She responded to Mohd Nazri Abu Hassan's (PN-Merbok) question on whether SST expansion to logistics, new taxes, and diesel subsidy cuts have driven up the cost of living, and how the government aims to raise revenue without burdening the people.
Some of the efforts the government has put in place to help the people are the targeted subsidies for the B40 group and other communities in need, along with special assistance as announced in the budget.
Lim said the minimum wage would also be increased, aimed at raising disposable income for low-income earners to help them cope with the cost of living better.
"The government is also taking proactive steps to ensure the supply of essential goods is sufficient and prices remain stable, including through cooperation with relevant agencies. This includes monitoring stocks of essential goods like rice and cooking oil packets. This initiative also involves the industry to increase production and ensure the supply chain is not disrupted.
"Although fiscal measures may have certain impacts, the government remains committed to balancing the need to increase national revenue with ensuring the wellbeing of the people remains a priority," she said.