Petronas

Nation-Building · Chronicle · 15 min read

Bumiputra Finance Scandal (BMF): The Money Lost in Hong Kong

Only after a bank employee was murdered did Malaysia clearly see the black hole in BMF's ledgers

In July 1983, Jalil Ibrahim was murdered in Hong Kong. Beside the murder case were the massive loans granted by BMF to real estate groups like Carrian, and a regulatory mechanism that had long been dysfunctional. The money could be replenished, but was accountability pursued to the very end?

Unity Government and Reform · Debate · 6 min read

RON95 Subsidy Rationalisation: A Necessary Fiscal Reform or a New Burden on Ordinary Malaysians?

Malaysia spent tens of billions subsidising petrol for decades — but who was really benefiting, and who is now paying the price?

For decades, Malaysia subsidised RON95 petrol at a fixed price far below market rates. The bill reached RM80.7 billion in 2022 alone — one of the largest single fiscal commitments in Malaysian history — as global crude oil prices surged. The Madani government introduced targeted subsidies from June 2024: the RM2.05 per litre subsidised price is retained for lower- and middle-income households, while higher-income owners of larger-engine vehicles pay market rates. The core question: is this a long-overdue fiscal correction that redirects money to those who need it most, or does the knock-on effect through transport costs punish the very households the reform was meant to protect?