Malaysia has advantage as oil producer, says Tengku Zafrul

 The Mida chairman says the country is able to reduce the impact of rising energy prices on the people.

Mida chairman Tengku Zafrul Aziz said Malaysia was not just buying oil but also producing it, which enabled the country to use this advantage to protect its people. (AFP pic)

KUALA LUMPUR:

 Malaysia’s status as an oil producer, along with the income generated from the sector, helps the government protect the public from the impact of rising energy prices, says Malaysian Investment Development Authority (Mida) chairman Tengku Zafrul Aziz.

He said the increase in global oil prices raises national revenue from the oil industry.

For example, Petronas approved dividends of about RM32 billion for the 2025 financial year, while the amount for 2026 is around RM20 billion.

“Yes, there are indeed effects when global oil prices rise – transportation and goods costs around the world also increase. The public will feel the impact, but there is an advantage (as an oil producer) that helps our country reduce the effect on the people,” he said in a post shared on social media.

In 2025, Malaysia produced about 184 million barrels of crude oil and condensate.

The RON95 petrol price for eligible citizens remains at RM1.99 per litre through the BUDI95 programme.

“Although the unsubsidised price is higher, the government has also implemented targeted subsidies so that assistance reaches those who need it and to reduce leakages. It is important for people to understand that when global oil prices rise, many countries simply bear higher costs.

“Malaysia is different. We are not just buying oil – we also produce it, and we use that strength to protect the people,” he added. - FMT