Petronas to pay RM34b dividend to govt this year, says minister

 

Workers work on a signage bearing a Petronas logo in Kuala Lumpur March 12, 2017. — Picture by Yusof Mat Isa

KUALA LUMPUR, Nov 2 — Petroliam Nasional Bhd (Petronas) will pay RM34 billion in dividend to the federal government this year, although the national oil company posted losses in the second quarter of 2020, said Minister in the Prime Minister’s Department (Economy) Datuk Seri Mustapa Mohamed.

He said Petronas had paid out RM488 billion in dividends to the government since its establishment in 1974.

“In 2019, the total amount of dividend paid out by Petronas was RM54 billion, including a special dividend of RM30 billion,” he said in a written reply in the Dewan Rakyat today.

Mustapa was replying to a question from Pang Hok Liong (PH-Labis) who wanted to know whether Petronas would definitely pay dividends to the government this year after it recorded a loss of RM21 billion in the second quarter ended June 30, 2020.

Pang also asked on the impact of the losses as well as implications on the country’s economy in general and specifically on the economic plans under the 12th Malaysia Plan (12MP).

On this, Mustapa said the 12MP which was initially scheduled to be tabled on August 6, 2020 had been postponed to early next year to enable the government to take into account the changes caused by the Covid-19 pandemic.

“Considering that Covid-19 has brought about noticeable impact on the global economy, including Malaysia’s, hence the economic analysis being adopted when preparing the policies, strategies and initiatives for 12MP needed to be reviewed especially on the country’s economic growth projection.

“Besides that, the delay was made so that more engagement sessions between all stakeholders can be held including with ministries and agencies, state governments as well as economic experts,” he said.

He further said that this move was taken to ensure the initiatives drafted under the 12MP were in line with the current aspirations and policies which became the core support for the government, besides making sure the 12MP was made based on more realistic economic and fiscal positions. — Bernama