A health think tank says the government’s move to raise cigarette tax by just two sen per stick in the 2026 budget is a missed opportunity to boost revenue and curb smoking.
The Galen Centre for Health and Social Policy said increasing the duty to 77 sen per stick would lift its share of the retail price to 61% and add RM771.8 million to the country’s coffers.
The cigarette tax has not been raised since September 2014, when it was increased from 28 sen to 40 sen per stick.
Malaysia’s tobacco tax currently accounts for 58.6% of retail prices, below the World Health Organization’s recommendation of 75%.
“How much will a two sen increase really bring in?” said Galen CEO Azrul Khalib.
“Malaysia spends about RM16 billion a year treating smoking-related illnesses such as cardiovascular disease and lung cancer.
“For…