Reported 12 months ago
Budget pressures in Southeast Asia are prompting governments to reconsider fuel subsidies, potentially leading to political backlash and increased inflation. Countries like Thailand, Malaysia, and Indonesia have begun raising diesel prices to alleviate financial burdens amidst global crude price hikes. While these actions aim to cut fuel subsidies for economic stability, they face resistance from citizens concerned about cost hikes for basic necessities. The move could also impact political approval ratings and interest rate decisions, as seen with Thai Prime Minister Srettha Thavisin's declining ratings and Malaysian lawmakers criticizing fuel subsidy reforms.
Source: YAHOO