Malaysia firm on fuel hike, protest fizzles out

MALAYSIA: Malaysia's ruling coalition rejected calls to reconsider a sharp rise in petrol and diesel prices on Friday as barely half a dozen people turned out for an opposition-backed protest in the nation's capital.

Prime Minister Abdullah Ahmad Badawi's party met on Friday seeking to weather criticism of the unpopular price hikes that come on top of a poor showing in elections earlier this year.

The two-day meeting of the supreme council of the United Malays National Organisation was meant to set out a blueprint to revitalise the party following the election in March.

But Abdullah has come under renewed pressure from the opposition over the 41 percent rise in petrol prices and the 63 percent increase for diesel.

"No," Domestic Trade Minister Shahrir Samad told reporters when asked if the government would bring fuel prices back to their earlier level. He shrugged off street protests, saying "groups will take advantage of the situation".

"I don't think there is going to be a political backlash because in the end there are other aspects of the overall programme that we are giving back to the people."

Two demonstrations planned in Kuala Lumpur immediately after Friday prayers fizzled out with more police, reporters and onlookers showing up than protesters.

Outside a mosque in a poor, largely ethnic Malay part of the capital, six protesters held posters and called on Abdullah and his deputy to quit, a Reuters photographer said.

Kuala Lumpur, Friday, Reuters