‘Heartbroken’: Malaysia’s smokers and drinkers brace for a ‘sin tax’ shock

As the workday grinds on in Kuala Lumpur, 23-year-old office worker Adib finds solace in a few quiet cigarettes, but his unhealthy habit is about to come at a higher price.

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From next month, a new government policy will drive up the price of tobacco and alcohol in Malaysia as higher so-called sin taxes take effect.

Unveiled by Prime Minister Anwar Ibrahim in last week’s budget, the measure aims to improve public health. Yet it has also raised concerns about the rising cost of living.

It represents Malaysia’s first broad-based “sin tax” increase in years, raising duties by 2 sen (less than 1 US cent) per cigarette and increasing alcohol taxes by 10 per cent.

A bartender fills a glass with beer for a customer in Kuala Lumpur’s Bukit Bintang nightlife district. Photo: AFP
A bartender fills a glass with beer for a customer in Kuala Lumpur’s Bukit Bintang nightlife district. Photo: AFP

Officials say the additional revenue will fund health initiatives, but for many, the impact will be felt far closer to home.

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