KAJANG: Prime Minister Datuk Seri Anwar Ibrahim has defended Malaysia’s fuel prices amid calls to lower them, saying the government already spends RM40bil annually on fuel subsidies.
“They say fuel prices should be reduced to RM1.50 per litre. When we first proposed RM1.50, petrol in Saudi Arabia cost about 50sen per litre.
“Today, petrol in Saudi Arabia costs around RM2.40 to RM2.50 per litre despite being the largest petroleum producer in the world and having excess production capacity,” he said at a meet-and-greet session with the Universiti Islam Selangor community.
Anwar, who is also the Finance Minister, said Malaysia still imports around 50% of its petroleum needs, yet continues to sell RON95 petrol at RM1.95 per litre through government subsidies.
He said claims that government debt is increasing are inaccurate, although the burden remains high due to interest payments for past financial mismanagement, including the 1Malaysia Development Bhd (1MDB) scandal.
“We are paying for old debts. We are paying for 1MDB’s debt. How can we deny this?”
Anwar said the government is also still bearing the cost of past decisions involving several institutions, including the Federal Land Development Authority and Lembaga Tabung Haji, which had resulted in significant financial obligations.
On a separate issue, Anwar said Putrajaya will review cases where some civil servants have had to wait up to eight years for a promotion, with instructions issued to resolve the delays.
He said the matter will be discussed at the next meeting with Chief Secretary to the Government Tan Sri Shamsul Azri Abu Bakar, following feedback gathered from civil servants through engagement sessions.
Anwar said the review was part of the government’s broader efforts to improve the welfare of civil servants beyond increasing their salaries.
“Salaries have increased but officers in certain grades have to wait up to eight years for a promotion. Cases where promotions are taking far too long must be expedited, and that is the instruction given.”
When he first took office, Anwar said the government found that housing for civil servants, teachers, members of the Armed Forces and the police was in poor condition, prompting gradual improvements through allocations beginning with the 2023 budget.
He also said he had insisted on a higher salary increase for civil servants than what was initially proposed by JPA despite concerns over the country’s fiscal constraints.
The Prime Minister said the government could not continue asking civil servants to work harder, be more disciplined and accept criticism when mistakes were made while neglecting their welfare.
