US viewed Pak Lah’s reform a failure

Syed Jaymal Zahiid | July 8, 2011

His administration's follow-up on vows for reform was 'disappointing', says a US cable leaked by WikiLeaks.

KUALA LUMPUR: Washington felt the economic policies introduced by then prime minister Abdullah Ahmad Badawi were not successful while his reform measures were least convincing, according to a diplomatic cable leaked by whistleblower site WikiLeaks.

The US government also felt that Abdullah’s ascent to power improved Washigton-Putrajaya ties, calling him “a breath of fresh air after the long-serving and vituperative Mahathir Mohamad” who retired in late 2003.

According to WikiLeaks – published by Malaysia Today website today – the US government felt Abdullah’s effort to encourage a private sector-led growth amid ballooning national debt was a failure and his administration’s follow-up on vows for reforms “disappointing”.

“He is publicly committed to fighting corruption and reining in costly mega-projects, though his government’s follow-through has been disappointing.

“In his early days, PM Abdullah made rural development and control of government spending, partly as a means to encourage private sector-led growth, his top economic priorities. So far, only his reduction of the government’s deficit – now down to 3.8% of GDP – can be chalked up as a clear success,” read the cable.

Abdullah’s 9MP lacked initiative

The leaked cable also disclosed US scepticism towards Abdullah’s economic policies under the Ninth Malaysia Plan (9MP).

“Abdullah’s partisans say that the Ninth Malaysia Plan (a five-year plan for economic policy and development spending) will be the vehicle for advancing his other economic goals, but the 9MP, unveiled on March 31, contained little in the way of drama or new initiatives,” read the cable.

His start as the country’s fifth prime minister was first marked with overwhelming support following his promise to implement reforms and battle graft.

His tenure was also seen by observers as more “democratic” than his predecessor. Space for opposition was freer under his rule and Abdullah acknowledged the need for key structural reforms, including the promises to revamp the judiciary and the police.

However, much of his efforts were opposed internally by his own party members in Umno. Analysts believe his soft handling and inability to juggle reforms with the need to appease the far-right elements within Umno contributed to his waning popularity and at the same time dampened efforts to finish his reform pledges.

Abdullah led Barisan Nasional (BN) to its worst electoral defeat in four decades, losing its customary two-thirds parliamentary majority and five states, some of which are known to be the ruling coalition’s fortresses.