Malaysia considering consumption tax reform, PM says

Malaysia's Prime Minister Anwar Ibrahim speaks during a press conference at the Federal Government office of Perdana Putra in Putrajaya, Malaysia on Jul 9, 2026. (Photo: Reuters/Hasnoor Hussain) 18 Aug 2026 02:16PM KUALA LUMPUR: Malaysian Prime Minister Anwar Ibrahim said on Tuesday (Aug 18) the government was considering reforming its consumption tax regime to make it more progressive and efficient, including potentially reintroducing aspects of a broad-based goods and services tax (GST). Malaysia scrapped the GST, which was set at 6 per cent, in 2018 amid an outcry over rising living costs, replacing it with a narrower sales and services tax (SST). Some analysts have called for the GST to be revived so the government can achieve its fiscal targets. Anwar, who is also finance minister, sa