KUALA LUMPUR, Mar 17 — The maximum price for petrol and diesel will be set at RM2.05/L and RM2.15/L, respectively under the new economic recovery programme dubbed Pemerkasa.

Prime Minister Tan Sri Muhyiddin Yassin said the move was necessary as global oil prices are expected to rise again soon.

"We are fixing the RON95 petrol price at a ceiling price of RM2.05 per litre and diesel at RM2.15 per litre as based on current trends, oil prices are expected to increase worldwide.

"At the moment the government is paying close to 30 cents per litre in subsidies, which means the total subsidies are up to RM3 billion based on current prices.

"We are also subsidising the liquid petroleum gas or LPG. The real price of a 14kg LPG is around RM50 but the market price is fixed at RM26.60 per barrel,” said Muhyiddin today during his national address.

Muhyiddin today announced an RM20 billion Pemerkasa scheme to jumpstart the country’s economic recovery and help those who are still struggling due to the Covid-19 pandemic.