PKR Youth chief Nik Nazmi Nik Ahmad has told Putrajaya to ditch its failed policy to reduce car prices after vehicle prices ended going up.

The BN had in its 2013 general election manifesto pledged to slash car prices by 20 to 30 percent.

However, unlike the opposition, which proposed to cut car prices by gradually phasing out exorbitant taxes that make up to half of the cost, BN had proposed to do so through "market forces".

"Prime Minister Najib Abdul Razak's government should admit that its policies have failed and implement our policy of reducing car prices," Nik Nazmi ( photo ) said in a statement today.

The government claimed car prices had fallen by seven percent last year by having foreign brands assemble their vehicles locally or introducing stripped-down versions of existing models.

However, the progress was impeded after carmakers announced they were hiking prices due to the weakening of the ringgit, which has lost about 30 percent of its value since the beginning of this year.

Nik Nazmi noted that UMW Toyota Sdn Bhd announced an increase of four and 16 percent respectively for its Toyota and Lexus models.

He added that the the Malay Vehicle Importers and Traders Association of Malaysia (Pekema) has also warned that it may have to increase prices by 25 to 30 percent.

He said the increase in car prices would burden the youth, who were already bogged down with educational and housing loans.

"Indeed, rather than do right by the people, the government has now countenanced, in this time of economic uncertainty, to huge increases in major toll road rates.

"This is not the behaviour of a government that claims to put 'people first', Nik Nazmi added.