To subsidy, or not to subsidy, that is the question!
- Hussein Abdul Hamid
- Oct 4, 2023
- 1 min read
To subsidy, or not to subsidy: that is the question:
Whether 'tis nobler in the mind to suffer
The slings and arrows from the B40 and the M40,
Or cut subsidies to help narrow the budget deficit......
The gomen is dilly dallying on subsidies.
By right sudsidy eradication should have been implemented upon taking over one year ago in 10% steps every 6 months. Thailand took a drastic 100% fuel subsidy eradication in one go when price of oil was st usd100/ bbl 15 years or so ago. And Philippines way poorer than us per capita wise has no subsidy for fuel as most are imported. No riots. Everyone learned to live with no subsidy. And in thailand's case sales of EV boomed in urban areas to escape high fuel prices.
Our currency in theory should strengthen as subsidies are reduced as money will be used to cut gomen debt. And that may mitigate removal of subsidy…