PUTRAJAYA: Malaysia can still maintain the subsidised RON95 petrol price at RM1.99 per litre for up to two months, says Prime Minister Datuk Seri Anwar Ibrahim.
However, he warned that the prolonged closure of the Strait of Hormuz could cause an unprecedented economic crisis.
As such, he urged the public and private sector not to treat the ongoing conflict in the Middle East lightly.
“We will try to control, including the price for RON95, which is RM1.99 per litre. We will monitor this situation because so far, we can still hold off for one or two months.
“But the early signs are not good. I urge everyone, including the civil service, workers and businesses to be wary of this situation.
“Do not take this lightly,” Anwar told reporters after performing Friday prayers at a surau in a mall here yesterday.
The Prime Minister said the economic impact of the US-Israel attacks on Iran were still under control.
“But we know that more than 200 oil and gas vessels are stuck in the Strait of Hormuz.
“It will also lead to higher transportation costs as vessels will have to take a longer route. The government will take immediate measures because the economic effects from the prolonged situation cannot be avoided.
“The cost of goods, imports for SMEs and food prices will also increase,” he added.
Anwar said the current global situation should not be sugar-coated by anyone, and everyone must begin thinking of solutions before the situation worsens.
“Let’s be honest, sincere and clear to the community. We must monitor the situation, and let’s not be complacent as if nothing is happening.
“We must be careful from now on,” he added.
The Strait of Hormuz is the only sea passage from the Gulf, making it the world’s most strategic and vital choke point. It is estimated that 20% of the world’s oil supply passes through these waters.
The 55km-wide strait, located between Iran and Oman, was closed by Iran on Monday following attacks on the country by the United States and Israel.
On Monday, Finance Minister II Datuk Seri Amir Hamzah Azizan said the government would revise its official growth projection of 4% to 4.5% due to growing uncertainty over the Middle East conflict.
