Back to today’s briefing

Story perspectives

Malaysia Cuts RON95 Petrol Subsidy Amid Rising Costs

3/27/2026

36 5 Full Breakdown

Summary

Story summary

Starting April 1, Malaysia will reduce the subsidised RON95 petrol quota from 300 litres to 200 litres.
The subsidy bill has risen from RM700 million to RM3.2 billion due to higher global oil prices linked to the Middle East conflict.
Prime Minister Anwar Ibrahim (Malaysia) said Malaysia can manage these challenges and noted ongoing discussions with Iran on oil shipping.

History

Historical Context

The 1973 Yom Kippur War initiated the first oil crisis, as OPEC's embargo caused oil prices to quadruple, significantly impacting economies worldwide, including Malaysia. Today, Prime Minister Anwar Ibrahim faces rising subsidy costs, escalating from RM700 million to RM3.2 billion, highlighting the ongoing vulnerability of oil-dependent nations and the critical need for effective energy management strategies.

1 of 2

Story summary

Starting April 1, Malaysia will reduce the subsidised RON95 petrol quota from 300 litres to 200 litres.
The subsidy bill has risen from RM700 million to RM3.2 billion due to higher global oil prices linked to the Middle East conflict.
Prime Minister Anwar Ibrahim (Malaysia) said Malaysia can manage these challenges and noted ongoing discussions with Iran on oil shipping.

1 / 2