PM Anwar announces 300-litre BUDI MADANI limit, with 400 litres for eligible pickups and jeeps

The higher BUDI MADANI fuel allocation is among a series of measures coming up, including complimentary AI application subscriptions for youths, increased financing for small businesses, and more.

Starting today (1 September 2026), eligible Malaysians will be entitled to up to 300 litres of subsidised fuel per month under the BUDI MADANI scheme, up from the previous 200-litre limit. Eligible BUDI Diesel recipients with approved private pickup or jeep vehicles may receive an additional 100 litres, bringing their total monthly entitlement to 400 litres.

The adjustment applies automatically to eligible recipients of BUDI MADANI RON95 (BUDI95) and BUDI MADANI Diesel (BUDI Diesel), subject to the requirements of each programme.

The increase was announced by Prime Minister and Finance Minister Datuk Seri Anwar Ibrahim during the Amanat Perdana Ambang Merdeka 2026.

Malaysian citizens with a MyKad and an active driving licence who qualify for BUDI95 are now eligible for 300 litres per month. The same limit applies to recipients who meet BUDI95 requirements and own an eligible private diesel vehicle with an active Motor Vehicle Licence or road tax under BUDI Diesel.

Here is the breakdown:

"Eligible owners of private diesel vehicles of the pickup and jeep types, they can apply for an additional qualification of 100 litres per month. With the addition, their total monthly entitlement can be increased from 300 litres to 400 litres," the Ministry shared. 

Eligible pickup and jeep owners who have not yet applied for the additional allocation may submit an application through the BUDI MADANI portal at www.budimadani.gov.my. Recipients with an existing approved additional allocation will have their monthly entitlement adjusted automatically to 400 litres.

The Government said the increased limits reflect more structured fuel supply management, stricter enforcement, the country’s economic performance and its fiscal capacity. The measure also takes into account the needs of Malaysians who travel long distances for work and small traders who rely on their vehicles for their livelihoods.

A total of 16mn consumers benefit from subsidised RON95 at RM1.99 per litre, while more than 700,000 consumers are eligible for subsidised diesel at RM2.10 per litre.

"The MADANI government will continue to ensure fuel subsidies are channelled to eligible Malaysians, while strengthening efforts to curb leakage, smuggling and abuse," the Ministry affirmed. 

In a Facebook post by Prime Minister Anwar Ibrahim on 31 August, he shared his hopes that this initiative will be able to lighten the burden of the people and give a real meaning to this year's Merdeka celebration. He added that some further announcements are expected to be delivered in due course, such as during the Malaysia Day celebration in Sarawak, as well as Budget 2027.

"I and the entire MADANI Government team will continue to listen to the voices and concerns of the people. We will continue to work hard to ensure that every success of the country translates into an abundance of benefits felt by the people and a more prosperous and dignified life," he stated. 

The Prime Minister also shared other initiatives during his speech, such as: 

The Government will allocate an additional RM500mn in 2027 for the maintenance and repair of school infrastructure, raising the total allocation from RM1bn in 2026 to RM1.5bn.

The funding will cover all school types, with the Ministry of Education set to review infrastructure applications from 1 September and begin maintenance works as early as January 2027.

Up to 100,000 Malaysians aged 18 to 30 will be given a free three-month subscription to selected AI applications after they complete an AI learning module on the Rakyat Digital platform. The initiative, under the AI for the People programme, aims to expand digital opportunities for young people.

The Government will also be allocating RM1bn to improve the efficiency of public healthcare services through Electronic Medical Record (EMR) systems and Wi-Fi connectivity. The investment will cover 150 hospitals and 2,000 health clinics, with the aim of speeding up treatment and reducing patient waiting times.

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Infographics & lead image / PM Anwar's Facebook