Kuala lumpur: Good governance and effective economic policies have enabled Malaysia to lower the price of RON95 petrol to RM1.99 per litre, easing the burden on the people compared with other countries, including oil producers, said Prime Minister Datuk Seri Anwar Ibrahim. He said the announcement of the price reduction had received a positive response from the public, although there were also criticisms and counter-proposals that the government would review from time to time.
According to BERNAMA News Agency, Anwar noted that although Saudi Arabia, as a major oil producer, once offered prices as low as 50 sen per litre in 2013, petrol prices there have since surged to between RM2.60 and RM2.90 per litre, while Qatar, also an oil and gas producer, has set prices higher than Malaysia. Anwar explained that the reduction in RON95 petrol prices was made possible only after the government had implemented significant policy reforms, including more transparent tenders, measures to prevent leakages, efforts to combat corruption, and the introduction of a new economic policy that inspires confidence.
Anwar said initial proposals estimated that the government could save between RM8 billion and RM10 billion through subsidy rationalisation, but the final decision was made by taking into account the needs of the people and the country's economic stability. He emphasized that the management of government, public finances, and the nation's framework are priorities, involving the role of the Ministry of Finance, the Inland Revenue Board, Royal Malaysian Customs Department, and all enforcement agencies that help curb leakages.
The Prime Minister highlighted that the issue of leakages and systemic corruption within certain departments and ministries had tarnished the image of the civil service, but it did not reflect the majority of public servants who have played an important role in the government's success. He described the small group involved in corruption as a "cancer" that must be addressed, affirming that the civil service's effectiveness is demonstrated through the successful implementation of subsidy rationalisation, which has delivered direct benefits to the people.
Commenting on the issue of petrol subsidy quotas, Anwar explained that the decision to set the limit at 300 litres was made after in-depth analysis based on consumption data. Initially proposed at 250 litres, discussions at the Ministry of Finance and Cabinet led to an increase to 300 litres to avoid public burden.
Anwar also emphasized that any savings from subsidy rationalisation would be channelled back to the people through welfare, training, and improvements in the quality of public service. He mentioned consultations with the Public Service Department regarding the quality of the civil service, including additional allocations for training, postgraduate studies, and new areas of expertise, particularly in digital transformation and artificial intelligence.
Critical sectors such as education and health were also given close attention, including the hiring of more doctors and nurses. Anwar concluded by expressing hopes for peace, political stability, and the elevation of the nation's standing as a successful country in all respects.