Thu09212017

LAST_UPDATEThu, 21 Sep 2017 11am

Why 1MDB Scandal Won’t Affect Foreign Investments

Pic: TwitterPic: Twitter

"In the Malaysian election which is due sometime next year, you will see Mr Najib coming back into power together with his coalition."

Analyst Oh Ei Sun had stated this view with conviction during an interview with American broadcast news station CNBC yesterday, in commenting on Prime Minister Datuk Seri Najib Tun Razak's much anticipated meeting with US President Donald Trump.

"Concerns over 1MDB and other irregularities were mainly confined to urban voters and that most urban voters were already voting for the opposition.

Pro-democracy group Bersih stage 1MDB protest, calling for Malaysian Prime Minister Najib Abdul Razak to resign, in Kuala Lumpur, Malaysia November 19, 2016. Pic: ReutersPro-democracy group Bersih stage 1MDB protest, calling for Malaysian Prime Minister Najib Abdul Razak to resign, in Kuala Lumpur, Malaysia November 19, 2016. Pic: Reuters

"On the rural front, issue of corruption had made little inroad in rural areas because rural folk were mainly concerned about development and infrastructure, clean water and so on.

"As long as the incumbent government is capable of providing such amenities, they will vote for the BN,” he highlighted.

To a question from the programme host who steered the topic topwards political stability and how it plays out in the market with international media watching, Oh replied that it all boils down to a question of comparison.

"If you look at the Corruption Perception Index by Transparency International, Malaysia as compared to neighbouring countries with the exception of Singapore is [ranked] much higher," Oh clarified that Malaysia scored better than many of our Asian neighbours.

"So, it is question of comparison. I am not for one second thinking that it is alright to engage in this..

"You have to go to the minds of international investors," Oh pointed out that investors know that corruption is worse in neighbouring countries and said that investors are realistic, "these are business men, a degree of corruption for businessmen is very common.

"I am being really realistic," he stressed.

Oh, was Najib’s political secretary from 2009 to 2011, FMT reports.

Malaysia PM Najib will likely be re-elected: Analyst

Despite the 1MDB corruption scandal, Malaysian PM Najib Razak will likely be re-elected next year due to support from rural voters, says Ei Sun Oh of RSIS.

- mD