Malaysia Mulls Return of Consumption Tax to Bolster Finances (3)

Malaysia is weighing the return of a broad-based consumption tax instead of implementing subsidy cuts for a commonly-used gasoline as the government seeks to bolster its finances, according to people familiar with the matter.

Prime Minister Anwar Ibrahim’s cabinet has been discussing the viability of bringing back the goods and services tax, the people said, asking not to be identified as the information is private. No decision has been reached given the political sensitivities, they added.

Anwar Ibrahim

Photographer: Prakash Singh/Bloomberg

There is an emerging view in government that imposing GST may be politically easier than removing subsidies for popular RON95 petrol since ...