KUALA LUMPUR: Almost 70% of Malaysians’ monthly income is spent on goods, housing and transport, Domestic Trade and Consumer Affairs Minister Datuk Seri Saifuddin Nasution Ismail said on Dec 9.
Based on a World Bank Group report, the cost of living shouldered by Malaysians is mainly due to these components, he added.
“In addition, the report states that the lower the people’s income, the more they spend on food, while those with higher income spend more on leisure such as travel or to visit recreational clubs and so on.
“So from here we can see that when there is a price increase in goods, it’s the low income group that is the most affected,” he told reporters after launching the World Bank’s Malaysia Economic Monitor’s latest update here.
The report also touched on income stagnation when the cost of living rises, he added.
In view of this, he said, his ministry, as the secretariat of the National Action Council on Cost of Living (NACCOL) will adopt several initiatives to overcome the problem.
“I have some ideas on the shifts needed on focus and priorities and how NACCOL can move into 2020 …we cannot be contended with what we have now, we must do more than this,” he stressed.
Meanwhile, Saifuddin Nasution in his speech said NACCOL is looking into reducing the prices of food items and increasing the income of food producers by eliminating the middlemen in the food supply chain.
“Recently I visited the fisherman’s jetty in Sekinchan and Sungai Besar. The price of Indian mackerel costs only RM5 to RM6 a kg but about 1.5km away, at the wet market, it is RM13.
His ministry, he said, will work with the Agriculture and Agro-based Industry Ministry on this matter. “For the coming year, this will be one of my main priorities in our efforts to reduce the cost of living,” he said.
Moving forward, the government will continue to improve public transportation, particularly last-mile connectivity, as well as create more affordable housing and also introduce creative and innovative schemes to reduce the burden of home ownership, he said.
He added that through his ministry, the Food Bank Malaysia and Food Bank Siswa programmes were initiated which to date have provided food security to over 400,000 families and 7,000 university students. – Bernama
