PM Gives His Answer On Why Petrol Prices Haven’t Dropped

In an answer to critics on his unfulfilled promise to reduce the price of petrol, Datuk Seri Anwar Ibrahim, the Prime Minister of Malaysia has uploaded a video explaining why this promise can no longer be fulfilled.

In a Facebook post on the Prime Minister’s Office Facebook page, Datuk Seri Anwar Ibrahim explained that while he acknowledges that his critics are quoting his old promise to lower petrol prices, it can’t be done now.

He explained that during the time he made the promise 15 years ago in 2008, the petrol price in Saudi Arabia, the world’s largest oil producer, was only 50 cents a litre.

In comparison, Malaysia’s petrol prices at that time were in the range of RM1.60 to RM1.80.

“I said then, why can Saudi Arabia have it at 50 cents, yet ours is still so high? We should also lower it. But what about now, in 2023?” he questioned.

“That’s because now, petrol in Saudi Arabia is even more expensive than in Malaysia!

“How much else do you expect it to drop? We have already provided subsidies, high subsidies, RM30 to 40 billion in subsidies currently,” said the prime minister.

Anwar also justified using Saudi Arabia as a benchmark of petrol prices. Today, Saudi Arabia is the world’s leading producer of oil, with an output that dwarfs Malaysia by multiple times.

Yet, the petrol price in Saudi Arabia is still higher than Malaysia at RM2.84 per litre. This is in comparison to Malaysia’s subsidised rate of RM2.05 per litre.

Malaysia’s economy minister, Rafizi Ramli had also spoken about the petrol price issue before this, saying that it move is unfeasible now with the current state of the economy.