State polls to determine fate of Malaysia PM, reforms

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KUALA LUMPUR – Malaysia’s Sarawak state legislature will be dissolved on Monday, paving the way for possible polls in April that could trigger an early general election. The vote in the sprawling, resource-rich state of Sarawak on Borneo island is seen as a barometer of the strength of Prime Minister Najib Razak’s government, and is expected to influence the timing and outcome of a general election which could be held this year. A strong win for Najib’s coalition could trigger an early general election and give the prime minister a mandate to push through key economic changes while a poor performance would throw in doubt the coalition’s future and the fate of promised market-friendly reforms.
Sarawak has to hold state polls within 60 days of the legislature’s dissolution and many expect the vote to be in April. “I have met the governor of Sarawak on the dissolution of the state council, and the order to dissolve the state council will be done on March 21, with a copy to be given to the Election Commission,” chief minister Abdul Taib Mahmud told reporters in Sarawak on Saturday. Sarawak is a stronghold of the ruling coalition, but its popularity has been eroded by grumbling about poverty and its long-serving chief minister Taib. It has reserves of timber, palm oil and liquefied natural gas but ranks among Malaysia’s poorest states. In a recent interview with Reuters, Najib said a good showing in Sarawak would help assess the public mood and perhaps provide a pointer to calling an early general election.
A general election is not due until 2013 but many expect it to be held late this year after economic growth accelerated to a 10-year high of 7.2 percent in 2010 on the back of strong commodity prices. “The ruling coalition still looks strong heading into the next general election but the biggest question is Sarawak and how they will fare,” political analyst Ong Kian Ming said before the legislature’s dissolution was announced. Najib took office in 2009 pledging economic reforms that were initially hailed by investors but his record of delivery has been mixed.