Fast-growing danger

10 March 2008 By Martin Hutchinson

Malaysia’s election results show that Islamism is not a big threat the successful opposition coalition includes both Islamists and urban secularists. Population growth is a greater danger; at 1.8% it could impose an intolerable economic burden should commodity prices decline.

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The ruling National Front party of Malaysia won only 139 of 222 seats in an election March 8, its worst result in the 51 years since Malaysian independence. The opposition, a coalition between the Islamist PanMalaysian Islamic Party and the secular Justice Party led by Anwar Ibrahim, won 82 seats and now controls five states, Kelantan (which it controlled previously), Selangor, Perak, Kedah and Penang. In spite of calls to quit from his predecessor Mahathir Mohamad, Prime Minister Abdullah Ahmad Badawi was sworn in for a second term on March 10.

Malaysia has a population of 25m, growing at 1.8% annually and a GDP at market exchange rates of $165bn, growing at 5.7% in 2007 (3.9% per capita), a GDP per capita (purchasing power parity) of $14,400, inflation of 2%, a budget deficit of 3.6% of GDP, a current account surplus of 15% of GDP, foreign debt of 36% of GDP and foreign exchange reserves of 60% of GDP. Its Gini (inequality) coefficient is 46.

The new Tesco in Kota Bharu, Kelantan has separate checkout aisles for men and women, a provision of Kelantan law.

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The new Tesco in Kota Bharu, Kelantan has separate checkout aisles for men and women, a provision of Kelantan law.

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