Friday 29 August 2008

Malaysia's BN Federal Government Finished?

Election win unnerves Malaysian bourse

Malaysia's Stock Market is uneasy.

This shipping industry publication obviously thinks Anwar in on track to be PM, it even talks about the current federal government being unseated!

This clearly indicates how deep rooted crony-ism is in Malaysia.

From ‘Fairplay’

“STOCKS in Malaysia’s bourse were ‘shaken’ after political uncertainty crept in following the by-election victory of the country’s former Deputy Prime Minister, Datuk Seri Anwar Ibrahim in a hotly-contested electoral ward. “It has created a bit of a tremor. Basically anything that clouds the judgement of investors can rattle the stock market”, pointed Pong Teng Siew, head of research at Jupiter Securities.

Most of the political ‘dislocations’ according to Pong relates to the declaration by Ibrahim to form a new government by mid-September amidst the recent ill-timed decision to raise fuel prices. The increase in fuel prices caused an inflationary spiral unseen in Malaysia in recent times.

Fairplay, meanwhile, understands that many Malaysian government-linked companies (GLCs) including major shipping companies are led by political appointees of the ruling regime. A change in government will mean the potential removal of political appointees of the former regime, including those heading shipping companies.”

Vincit omnia veritas

- Truth conquers all

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