Malaysia's sugar tax funds lifesaving diabetes and kidney treatments
Malaysia's sugar tax funds lifesaving diabetes and kidney treatments
Malaysia's sugar tax funds lifesaving diabetes and kidney treatments
Malaysia's tax on sugar-sweetened beverages (SSBs) has raised millions for healthcare since its introduction in 2019. The funds have supported treatments for diabetes, kidney disease, and cardiovascular conditions. Recent figures show a steady increase in revenue from the levy, with collections rising each year.
The excise duty on SSBs began on 1 July 2019 at 40 sen per litre. It rose to 50 sen per litre in January 2024 and will climb again to 90 sen per litre in January 2025. By 2024, the tax had generated RM68.6 million in total revenue.
The Ministry of Health (MOH) allocated RM21 million of this revenue to purchase SGLT2 inhibitors. These medications help manage type 2 diabetes, reduce complications from chronic kidney disease, and provide cardiovascular benefits. A total of 49,128 patients received treatment through this programme.
From January to August 2025 alone, the tax collected RM54.9 million. Part of this funding—RM40 million—was set aside for peritoneal dialysis in 2025. Currently, 42% of patients undergoing this treatment receive it at MOH facilities.
The SSB excise duty continues to fund critical healthcare services in Malaysia. The increased tax rate in 2025 is expected to bring in even more revenue. These funds will support ongoing treatments for diabetes, kidney disease, and heart-related conditions.
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