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Anwar Ibrahim: A Balancing Act in Malaysian Politics

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Lower fuel price, cash handouts and state spending point to a campaign-style pivot by Malaysia's Prime Minister Anwar Ibrahim, even as polls remain years away. Read more at straitstimes.com.

Never a Dull Moment: Malaysia's PM Anwar Juggles Wins, Douses Domestic Fires


In the whirlwind world of Malaysian politics, Prime Minister Anwar Ibrahim has embodied the essence of high-stakes leadership since assuming office in November 2022. His tenure, marked by a delicate balancing act between progressive reforms and entrenched domestic challenges, has been anything but predictable. As the leader of a fragile unity government formed after a hung parliament, Anwar has navigated a landscape rife with economic pressures, racial sensitivities, and political intrigue. This period has seen him celebrate significant victories on the international stage while constantly extinguishing fires at home, from subsidy cuts to corruption scandals. His approach reflects a blend of idealism drawn from his long history as a reformist and the pragmatism required to hold together a diverse coalition.

Anwar's ascent to power was itself a triumph of perseverance. After decades in the political wilderness, including stints in prison on charges he claims were politically motivated, he finally secured the premiership through a coalition that includes former rivals from the United Malays National Organisation (Umno) and other parties. This unity government, comprising 19 parties, was born out of necessity following the 2022 general election, which produced no clear winner. Anwar's Pakatan Harapan (PH) alliance won the most seats but fell short of a majority, forcing him to forge alliances with erstwhile adversaries. This precarious setup has defined his administration, requiring constant negotiation and compromise to maintain stability.

On the economic front, Anwar has notched several wins that have bolstered Malaysia's global standing. One of his flagship initiatives has been the push for fiscal responsibility, including targeted subsidy reforms aimed at reducing the country's ballooning debt. In a bold move, his government announced the rationalization of diesel subsidies in mid-2024, a policy designed to save billions and redirect funds to the needy. This followed earlier adjustments to electricity tariffs and other subsidies, which Anwar justified as essential for long-term economic health. These measures have been praised by international observers, with credit rating agencies like Fitch affirming Malaysia's stable outlook. Economically, the country has seen robust growth, with GDP expanding by 4.2 percent in the first quarter of 2024, driven by strong exports in semiconductors and commodities.

Anwar's foreign policy has also been a highlight, positioning Malaysia as a proactive player in Southeast Asia and beyond. He has strengthened ties with key partners, including China and the United States, while advocating for a balanced approach in global affairs. A notable achievement was Malaysia's successful bid to join the Brics group of emerging economies, announced in 2024, which Anwar hailed as a step toward greater economic diversification. His administration has also been vocal on international issues, such as the Gaza conflict, where Anwar's outspoken criticism of Israel has resonated with Malaysia's Muslim-majority population and enhanced his domestic appeal. Diplomatic visits, including high-profile meetings with leaders like Indonesian President Joko Widodo and Singapore's Prime Minister Lawrence Wong, have fostered regional cooperation on issues like trade and security.

Domestically, however, Anwar's path has been fraught with challenges that test his coalition's resilience. Racial and religious tensions remain a persistent undercurrent in Malaysian politics, and Anwar has had to tread carefully to avoid alienating conservative Malay voters, who form the backbone of his support base through alliances like Umno. The opposition, led by the Perikatan Nasional (PN) coalition under former Prime Minister Muhyiddin Yassin, has relentlessly criticized Anwar's policies, accusing him of favoring urban elites over rural heartlands. A flashpoint has been the issue of affirmative action policies favoring the Bumiputera (Malay and indigenous) community, with Anwar's reforms seen by some as diluting these privileges.

One of the most intense domestic fires Anwar has had to douse involves corruption allegations and political scandals. His anti-graft crusade, a cornerstone of his reformist agenda, has led to high-profile arrests and investigations, including those targeting figures from previous administrations. For instance, the ongoing probes into the 1MDB scandal continue to reverberate, with Anwar pledging to recover misappropriated funds. However, this has not been without backlash; critics argue that his government has selectively targeted opponents while shielding allies. A recent controversy erupted over the Pardons Board's decision to halve the prison sentence of former Prime Minister Najib Razak, convicted in the 1MDB case. Anwar denied involvement, but the move fueled speculation of backroom deals to appease Umno hardliners within his coalition.

Economic policies have also sparked domestic unrest. The diesel subsidy cut, while economically sound, triggered protests from truckers and small businesses, who argued it would inflate costs and exacerbate inflation. Anwar responded by rolling out targeted aid packages, such as cash handouts to affected groups, demonstrating his administration's responsiveness. Yet, these measures highlight the tightrope he walks: implementing necessary reforms without provoking widespread discontent. Inflation, though moderated to around 2 percent in 2024, remains a concern amid global uncertainties like the Ukraine war's impact on food and energy prices.

Anwar's handling of social issues has further illustrated his juggling act. He has pushed for greater inclusivity, including efforts to empower women and minorities, but conservative elements within his coalition have resisted changes to laws on issues like LGBTQ rights or Islamic governance. The Allah socks controversy earlier in 2024, where a retail chain was accused of insulting Islam by selling socks with the word "Allah," escalated into a national debate, forcing Anwar to condemn the act while calling for calm to prevent racial polarization. Such incidents underscore the fragility of Malaysia's multiracial fabric, where Malay-Muslim sentiments can quickly mobilize against perceived threats.

Looking ahead, Anwar faces pivotal tests that could define his legacy. The upcoming budget in October 2024 will be crucial, with expectations for further subsidy rationalization, including on ron95 petrol, which could ignite more protests if not managed carefully. Politically, by-elections and the potential for early polls loom as opportunities for the opposition to chip away at his majority. Anwar has signaled intentions to strengthen his coalition, possibly through mergers or new alliances, but internal rifts—such as Umno's dissatisfaction with power-sharing—pose risks.

Despite these hurdles, Anwar's personal charisma and reformist zeal have kept his approval ratings relatively steady, hovering around 50-60 percent in recent polls. Supporters laud his vision for a "Madani" (civil and compassionate) Malaysia, emphasizing good governance and social justice. Critics, however, question whether his wins are sustainable amid domestic volatility. As one analyst put it, Anwar's premiership is a masterclass in survival politics, where every victory is shadowed by the next crisis.

In essence, Anwar Ibrahim's time in office has been a testament to the adage that politics is the art of the possible. By juggling international acclaim with domestic firefighting, he has steered Malaysia through turbulent waters, but the journey ahead promises more twists. Whether he can consolidate his gains and deliver on long-promised reforms will determine if this chapter marks a new era for the nation or just another episode in its colorful political saga. As Malaysia grapples with modernization amid tradition, Anwar's leadership remains a focal point of hope and contention, ensuring that there is indeed never a dull moment in Putrajaya.

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Read the Full The Straits Times Article at:
[ https://www.straitstimes.com/asia/se-asia/never-a-dull-moment-malaysias-pm-anwar-juggles-wins-douses-domestic-fires ]