Oil at US$100-120 a barrel could cut Malaysia's growth by 0.5 points
RAM Ratings estimates Malaysia's economic growth could fall by 0.3 to 0.5 percentage points a year if global crude oil prices stay between US$100 and US$120 a barrel. The rating firm examined the effect of a Strait of Hormuz closure on world oil supply and what it means for Malaysian refineries and consumers. Existing fuel subsidies shield consumers from direct price rises, but higher cost pressure could seep into consumer prices.