Malaysia has no plans to raise fuel prices even though world oil prices are at a record high, Economic Planning Minister Mustapa Mohamed said.

But he said the government would have no choice but to raise fuel prices in the future if oil prices continued to increase.
Malaysia raised pump prices as much as 23 percent in May -- the third hike in six months -- to relieve pressure on government fuel subsidies which cost more than $1 billion last year.
Mustapa said Malaysians must be prepared for a further hike in fuel prices because the government could not bear the cost of exorbitant fuel subsidies which would affect funding for development projects.
The cost of keeping down the retail price of petrol, diesel and LPG affects the government's fiscal deficit-reduction plan.