Malaysia needs deep-seated reforms, not just liquidity boost

Singapore

MALAYSIA needs deep-seated reforms to mend shattered confidence in its markets, not recycled window-dressing measures to prop up its flagging stock market.

Some RM23 billion net worth of funds have ditched the Malaysian equity market this year.

This despite its fortress of deep-pocketed government-linked funds that have long offered buying support to the local bourse amid heightened volatility.

Pumping in RM20 billion (S$6.6 billion) - about half of Bursa Malaysia's monthly trading value - into ValueCap, another state-owned investment v…