In the next 3-6 months, if the prices of oil continue its steady upward trend (its already an all-time high of US$47 a barrel), Malaysia is really going to be in deep ka-ka. With the Government subsidies already running at more than RM9bn a year, the pressure may very soon hit a point where the Government will just not be able to pay anymore.
Inflation, costs of living -- everything is connected to the cost of energy i.e. oil. And its not like our salaries are increasing at the same rate. Its not a good situation, and it looks like it'll get worse before it gets better.
Btw, i hate it when stupid Government-parrots say that the cost of petrol in Malaysia is among the lowest in the region. What a load of crock. Someone needs to send these people to an Economics 101 class and learn a little something called Purchasing Power Parity. Or perhaps they already know the truth, and are just deliberately lying.
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