PETALING JAYA: The Federation of Malaysian Consumers Associations (Fomca) has called for increased oversight and stronger collaboration between government agencies and retailers as the Sumbangan Asas Rahmah (SARA) programme expands to cover 5.4 million households—an eightfold increase from the previous 700,000.
Fomca chief executive officer T Saravanan said that while the initiative is commendable for helping ease the cost of living and boosting purchasing power, its success will depend on how well supply and logistics are managed across the 3,500 participating retail premises.
“The significant increase in beneficiaries means a higher demand for essential goods. A shortage of supply could disrupt the smooth operation of the programme,” he warned.
The SARA programme allows recipients to use their MyKad to purchase essential items at participating supermarkets and retail stores nationwide. According to the finance ministry, eligible households will receive up to RM2,100 in aid this year—marking a 75% increase from last year’s RM1,200.
Saravanan urged retailers to work closely with suppliers and relevant government agencies to ensure adequate stock levels and seamless logistics. He also called for enhanced price monitoring to prevent exploitation and ensure fair access for all beneficiaries.
‘Support Small Retailers Too’
Suhubudeen Sahubar Ali, secretary of the Malaysian Muslim Wholesalers and Retailers Association, echoed the call for broader collaboration. He welcomed the increase in participating retailers—from 700 to 3,500—but expressed concern that most were large supermarket chains.
“We hope the government will consider including more small retail shops in the programme. Given the opportunity, these smaller businesses can play a meaningful role while also boosting their own income,” he said.
In addition to SARA, the government also provides financial assistance through the Sumbangan Tunai Rahmah programme. A total of RM13 billion has been allocated under Budget 2025 for both schemes, aimed at easing financial pressures across various segments of society.
Economist Afzanizam Rashid previously noted that expanding direct cash aid could help mitigate the effects of targeted fuel subsidies, particularly with the gradual removal of the RON95 petrol subsidy.
On March 28, Prime Minister Anwar Ibrahim assured that 85% of the population would not be affected by the removal of the subsidy, reinforcing the importance of welfare initiatives like SARA in supporting vulnerable communities.