Prime Minister Datuk Seri Anwar Ibrahim disclosed the updated figure in a Facebook post following his special address, in which he outlined a series of government measures, including adjusting the Budi95 monthly quota from 300 litres to 200 litres and imposing limits per transaction for diesel in Sabah and Sarawak.

He said the government had acted early since the onset of the conflict to ensure energy supplies remained sufficient without sacrificing the wellbeing of the people, but acknowledged that the rapidly deteriorating situation in the region was making that increasingly difficult.

“The government must strike a balance between fiscal sustainability and the need to ensure that energy supplies continue to be accessible to the people throughout this crisis,” he said.

On March 13, Finance Minister II Datuk Seri Amir Hamzah Azizan said Malaysia’s monthly fuel subsidy bill had surged to approximately RM3.2 billion following a sharp rise in global oil prices triggered by the crisis.

At the time, petrol subsidies under the Budi95 initiative accounted for RM2 billion a month, compared with RM700 million previously, while diesel subsidies stood at RM1.2 billion.

The developments come amid escalating tensions in the Middle East, following large-scale attacks by the United States and Israel on Iran since Feb 28.

In retaliation, Iran has targeted US military bases across the region, launched waves of missiles and drones at Israel, and effectively halted the passage of about 20 per cent of global oil and liquefied natural gas (LNG) through the Strait of Hormuz.