KUALA LUMPUR, July 22 — Monthly fuel subsidy expenditure would reach RM2 billion for RON95 and RM1.5 billion for diesel if crude oil remains at about US$90 a barrel, said Deputy Finance Minister Liew Chin Tong.
He added that so far, the country’s fiscal position is strong and projections are unchanged despite rising crude oil prices.
“The government also earns revenue from petroleum. Every US$1 increase in the price of oil per barrel is expected to generate an additional RM300 million in government revenue.
“In October, when Prime Minister Datuk Seri Anwar Ibrahim presents Budget 2027, the government will announce updated fiscal projections based on prevailing economic conditions at that time,” he said during the question-and-answer session in the Dewan Negara today.
Liew was responding to a supplementary question from Senator Datuk Mohd Na’im Mokhtar on whether the government is confident it can maintain its fiscal deficit target if global crude oil prices rise above current projections, and about its contingency plans for such a scenario.
In response to another supplementary question from Senator Datuk Anna Bell@Suzieana Perian regarding a proposal to increase the BUDI Diesel quota for Sabah and Sarawak, he said the government is prepared to consider applications from specific groups.
“As an example, pickup truck owners have been granted an additional quota of 100 litres through a very simple application process. If there are specific cases that warrant consideration, the government is prepared to review them,” Liew said.
