Anwar Ibrahim sworn in as prime minister after days of political impasse

[KUALA LUMPUR] Anwar Ibrahim, the chairman of the Pakatan Harapan (PH) coalition, was sworn in as Malaysia’s 10th prime minister on Thursday (Nov 24) afternoon, bringing to an end five days of political deadlock after the general election.

In a press conference that night, Anwar said that he will test his majority by calling for a vote of confidence on Dec 19, on the first day of the new Parliament sitting. All parties are welcome in the national unity government as long as they accept the principles of good governance, no corruption, and Malaysia for all Malaysians, he said.

Earlier that day, the Palace had issued a statement on Anwar’s appointment, after Malaysia’s King Al-Sultan Abdullah Sultan Ahmad Shah held a special meeting with other Malay rulers that morning.

In the statement, the king noted that as there was no clear winner or loser after last Saturday’s general election, all parties should stand together for their country and the elected members of parliament should continue to serve the nation.

“The people should not be burdened by endless political turmoil as the country needs a stable government that will boost the economic landscape and national development,” he added.

Following the announcement of the new prime minister, the country’s benchmark FTSE Bursa Malaysia Kuala Lumpur Composite Index (KLCI) rebounded after three consecutive days of trending downwards.

The KLCI closed 4.04 per cent higher at 1,502.88 points at 5pm, with 981 gainers and 197 decliners, while 256 counters were unchanged and 84 others suspended.

The ringgit also rose as much as 1.6 per cent to RM4.49 against the US dollar on Thursday, from RM4.57 on Wednesday.

Anwar’s elevation to prime minister is the latest chapter in a 24-year journey in which he became the heir apparent several times, yet faced one obstacle after another on the way to the finish line.

The 75-year-old Member of Parliament for Tambun constituency is the opposition leader, but had previously been in politics with the United Malays National Organisation (Umno). In 1998, he was thrown out of Umno by former prime minister Mahathir Mohamad and imprisoned for over 10 years on sodomy and corruption charges – which he denied in controversial trials.

In this general election’s race for prime minister, Anwar faced his counterpart Muhyiddin Yassin, chairman of Perikatan Nasional (PN). Both coalitions were unable to secure the 112 MPs needed for a simple majority to form the federal government.

On the third day after the polls, the King stepped in and proposed the idea of a unity government to all coalitions. Umno, which led the BN coalition, initially wanted to remain in opposition – but changed its decision on Thursday morning after rounds of internal discussions, and will now work with PH.

The East Malaysia bloc – consisting of Gabungan Parti Sarawak and Gabungan Rakyat Sabah – and PN, which had earlier refused to work with PH, similarly agreed to become part of a unity government.

Political analysts said that the end of political deadlock signals a good beginning for Malaysia, as the formation of a unity government could bring at least four years of political stability to the country.

Before its about-turn on Thursday, BN had met with PH for negotiations. One of the proposals brought up in their meeting was that parliament should not dissolve before it completes its five-year term, noted political analyst Liew Wui Chern.

“With this, it could help rebuild markets’ and foreign investors’ confidence towards Malaysia’s government, as the policies that are implemented will not change for at least five years,” he told The Business Times.

Parliamentary affairs researcher Ong Ooi Heng shared this view, adding that a unity government will speed up the process to retable the long-delayed Budget 2023.

“Most probably the new government will use the previous tabled Budget 2023 as a benchmark and refine the details based on the current situation, (such as) commodities prices. Even if they could not decide immediately (on Budget 2023), a mini budget will be approved first,” he said.

In a letter on Thursday, Singapore’s PM Lee Hsien Loong congratulated the new PM Anwar on being sworn in, and PH for its strong performance in the election.

“Your premiership comes amidst significant challenges in our regional and global environment. As close neighbours and friends, Singapore and Malaysia should work together to manage these challenges and explore new opportunities for cooperation,” he wrote.

Noting both countries’ strong and long-standing relationship, and their partnership throughout the pandemic, PM Lee added: “I look forward to meeting you soon, to discuss the common issues facing our two countries and how we can further advance our bilateral relationship.”