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Malaysia’s new government will face struggle for unity

Thursday, May 10, 2018

Significance

The ruling Barisan Nasional (BN) coalition’s fall marks the first transfer of governing power since independence.

Impacts

  • PH scrutiny of Chinese-led development projects begun under the Najib administration could lead to a cooling of Malaysia-China relations.
  • Populist economic policies in the PH’s manifesto could result in increased public borrowing.
  • The Pan-Malaysian Islamic Party (PAS) will likely not be able to enforce Islamic criminal punishments in states it controls.
  • Najib’s United Malays National Organisation (UMNO) will likely see more defections.

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