Malaysia Moves to Ease Cost Pressures Amid Drought and Rising Costs

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KUALA LUMPUR 5 May 2026 (The Capital Post)— The Malaysian government has announced a series of measures aimed at supporting farmers, small traders, and consumers as the country grapples with drought conditions and rising living costs. The information was shared via TikTok by Sinar Harian.

The ongoing drought has posed significant challenges, particularly for padi farmers. In response, the government has intensified cloud seeding operations carried out by the Royal Malaysian Air Force (TUDM) and the Fire and Rescue Department (Bomba) to help alleviate the dry conditions.

At the same time, financial assistance for farmers has been strengthened. The ploughing incentive has been increased from RM160 to RM300 per hectare, as announced earlier by Agriculture and Food Security Minister Mohamad Sabu. The adjustment takes into account the rising cost of diesel and other operational expenses faced by farmers.

To ensure rice planting activities continue smoothly, the National Economic Action Council has also approved an advance payment of RM200 per hectare. This initiative is intended to provide immediate financial support, enabling farmers to rent machinery and maintain productivity. A total allocation of RM48 million has been set aside, benefiting around 240,000 registered rice farmers nationwide.

Beyond the agricultural sector, the government is also addressing concerns raised by small traders and business owners, including those in Rawang. As part of the first phase of assistance, rental rates for business premises under government-linked agencies such as MARA and UDA will be reduced starting this month.

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This move follows earlier action by Kuala Lumpur City Hall (DBKL), which has already implemented rental reductions. The government is now urging all local authorities (PBT) and state governments to take similar steps immediately, particularly to support small traders, hawkers, and food operators.

Meanwhile, the Rahmah Madani Sales Programme will be expanded to further ease the cost of living. The initiative has previously offered goods at prices up to 30 per cent lower than market rates. After recording over 25,000 programmes last year, the government plans to increase the number to 30,000 in 2026.

The programme will be held weekly across every state assembly constituency (DUN), allowing the public to better plan their purchases. It will also be extended to selected rural areas and villages, ensuring wider access beyond urban centres. Priority will be given to small traders to participate, rather than large corporations.

While acknowledging that these measures may not fully resolve all economic challenges, the government expressed confidence that they will help ease the burden on the rakyat. Discussions on further initiatives will continue during weekly Cabinet meetings held every Wednesday. -The Capital Post