Be prudent in spending, avoid panic-buying, MTPN urges consumers

KUCHING (April 8): The Malaysian consumers must exercise discipline amidst the present cost-of-living pressures.

In making this call, the National Consumer Action Council (MTPN) president Datuk Paduka Dr Kevy Yeo also highlighted three key messages for the public: avoid panic-buying, eliminate wasteful spending, and practise prudent financial management.

“Panic-buying only makes price hikes worse, as it triggers supply chain disruptions.

“This would particularly affect consumers in the B40 (low-income) and M40 (medium-income) groups.

“Households must reassess their spending priorities, as much of the inflationary pressures derive from essential goods.

“Wasteful spending must, therefore, be curtailed immediately.

“Adopt a ‘needs, not wants’ approach.

“Plan monthly expenditures, compare prices, and prioritise essential household needs,” he said in a statement.

Yeo also stressed the importance of understanding economic realities, especially regarding fuel prices and subsidies.

“Fuel prices in Malaysia are now determined weekly through the Automatic Pricing Mechanism (APM), which is influenced by global market conditions.

“National fuel subsidies can reach up to RM3.2 billion per month during periods of global oil price volatility.

“Subsidy rationalisation is expected to save the government between RM2.5 billion and RM4 billion annually, which can then be redirected towards targeted public assistance.

“This shows that current challenges are not temporary, but they do require a shift in consumer behaviour and mindset,” he pointed out.

Yeo then stressed about MTPN’s support to the ongoing efforts by the government and thus, it recommended strengthening targeted price stabilisation measures.

“The government can expand targeted price controls on critical vegetables and daily food items for specific periods through a price stabilisation mechanism for essential goods.

“Platforms such as Central Database Hub (Padu), Sumbangan Tunai Rahmah (STR) and MyDigital ID can be leveraged to deliver automatic and leakage-free subsidies to vulnerable groups,” he said, adding that reducing transportation costs through targeted diesel subsidies for the food sector should help stabilise consumer prices.

He also encouraged real-time digital consumer price monitoring to enable public price comparisons and promote accountability among traders, alongside a national ‘Spend Smart’ campaign.

“This initiative can involve non-governmental organisations, cooperatives and the private sector to educate the public on sound financial management.

“During these challenging times, consumer discipline is the strongest line of defence.

“Do not panic, avoid waste and spend wisely. Be a smart consumer,” he said.