Malaysia - What petrol subsidy?
Malaysia is a net exporter of oil. It is producing oil and selling oil at a highly inflated price due to speculations by western oil traders. The cost of production of oil is also relatively unchanged. So what subsidy is Malaysia talking about? They should be talking about profits, and huge profits. The only kind of subsidy is market subsidy, a uniquely Singapore experience. Because of the high market price, the Malaysian govt could sell their petrol at a much higher price. So to sell them at a lower price, it is called SUBSIDY! Does the Malaysian Govt understand this term? Singaporeans do and are very cynical about it when it is mentioned. And why cut the 'subsidy' and then decide to give back to the people in kind while at the same time incurring the wrath of the people? There are good things to learn from Singapore. But some things are quite silly and should not be copied without knowing what they meant and how badly they are received by the people. Low petrol prices in Malaysia is not subsidy to the Malaysians. It is lesser profits to Petronas, to the Malaysian Govt.