KUALA LUMPUR, July 29 (Bernama) -- Bursa Malaysia rebounded to close higher on Wednesday on selective buying of defensive stocks after a volatile trading session. IPPFA Sdn Bhd director of investment strategy and country economist Mohd Sedek Jantan said consumer products and services stocks lifted the key index higher, overcoming lingering geopolitical concerns. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 3.08 points to 1,715.56 from yesterday’s close of 1,712.48. The benchmark index, which opened 1.91 points higher at 1,714.39, moved between 1,710.79 and 1,720.59 during the day’s trading. In the broader market, gainers outstripped decliners 550 to 476, while 612 counters were unchanged, 1,129 untraded, and 48 suspended. Turnover rose to 2.96 billion units valued at RM2.48 billion from 2.94 billion units valued at RM2.56 billion on Tuesday.
The government anticipates raising an extra RM5 billion by broadening the sales and service tax (SST) scope starting May 1, 2025, according to Finance Minister II Datuk Seri Amir Hamzah Azizan . The expanded SST will increase revenue projections to RM51.7 billion , compared to RM46.7 billion currently forecast for 2025. To prevent impacting low-income groups, essential food items will be exempt from sales tax. The expanded service tax will focus on business-to-business (B2B) services , such as fee-based financial services for businesses, excluding individual consumers. Prime Minister Datuk Seri Anwar Ibrahim earlier revealed that the sales tax would apply mainly to non-essential imported goods, including premium items like salmon and avocados . Amir emphasized that SST expansion will proceed progressively to avoid undue public burden, with ongoing stakeholder consultations to finalize details. Part of the SST revenue will support cash assistance programs for the public.