Unsubsidised petrol and diesel prices in Malaysia will increase for the period from July 23 to July 29 after escalating geopolitical tensions in the Middle East pushed global crude oil prices higher.
The Ministry of Finance (MoF) said the retail price of unsubsidised RON97 and RON95 will each rise by 20 sen per litre to RM4.20 and RM3.62 respectively, while unsubsidised diesel will increase by 35 sen per litre to RM4.42.
The ministry said the adjustments were made under the Automatic Pricing Mechanism (APM), with prices reflecting movements in the global oil market during the previous week.
According to MoF, Brent crude prices climbed 16% over the past week as tensions between the United States and Iran escalated again following the end of a ceasefire. Restrictions on shipping and reduced vessel traffic through the Strait of Hormuz have heightened concerns over disruptions to global petroleum supplies.
It said crude prices were also supported by tightening global inventories and concerns over potential disruptions to oil shipments from Saudi Arabia.
“The global petroleum market is expected to remain volatile until the conflict is resolved,” the ministry said, adding that while efforts to revive negotiations and proposals for another ceasefire had capped some of the price gains, market concerns over supply risks remained.
Despite the increase in global prices, subsidised fuel prices remain unchanged. RON95 under the BUDI95 programme stays at RM1.99 per litre, while subsidised diesel under BUDI Diesel remains at RM2.15 per litre. Diesel prices under the Subsidised Diesel Control System (SKDS) and the Subsidised Petrol Control System (SKPS) remain at RM2.05 and RM2.10 per litre respectively.
Eligible Malaysians can continue purchasing subsidised RON95 and diesel using their MyKad, subject to their monthly allocation under the BUDI MADANI programme.
MoF also urged consumers to use fuel prudently by planning journeys more efficiently and avoiding unnecessary travel, saying the approach would help preserve national fuel supplies and ease pressure on subsidy spending.
