Kuala lumpur: Prime Minister Datuk Seri Anwar Ibrahim stressed that the country's oil and gas supply remains secure, but rising global fuel prices continue to strain government finances as it maintains the RON95 price at RM1.99 to protect the majority.

According to BERNAMA News Agency, disruptions and risks to international trade routes due to conflicts in West Asia have led to higher shipping and insurance costs, which in turn are affecting fuel prices. However, Anwar added that Malaysia is still able to ensure sufficient domestic oil and gas supply through its good relations with Iran and other producing countries, including Russia, Turkmenistan, and Uzbekistan.

Anwar emphasized that while the fuel supply is assured, the rising prices are a result of external factors rather than domestic issues. He highlighted the government's efforts to mitigate the impact of rising fuel prices by maintaining the BUDI MADANI RON95 (BUDI95) subsidy, despite the financial burden it places on the state.

As the Finance Minister, Anwar revealed the significant increase in government spending on fuel subsidies, which has reached RM5 billion a month, compared to RM700 million in January when the BUDI95 subsidy was introduced. He warned that if prices surge further, the subsidy cost could exceed RM6 billion a month.

The Prime Minister called for public understanding, asserting that the rise in oil prices is a global phenomenon and not due to domestic policy failures. The situation was exacerbated when oil prices rose above USD120 a barrel following President Donald Trump's warning to Iran about a potential prolonged United States naval blockade in the Strait of Hormuz.