LIKE most Malaysians, I, too, am hit by the unexpected economic downturn brought about by the Covid-19 pandemic.

But what is more unfortunate about the economic fallout, which is beyond our control, is that the problem is compounded by the unnecessary political wrangling in this country, which is avoidable.

Anwar Ibrahim’s recent moves to try to topple the current federal government led by Muhyiddin Yassin has created ripples on the economic front.

Since his announcement late last month of having secured enough MPs to support his bid to be the country’s ninth prime minister, an air of uncertainty has descended on the business community in the country. I vouch for this as I consider part of the corporate community.

The ringgit fell to a near two-year low on September 23 after Anwar’s announcement of having secured a “convincing and formidable” backing to form the next government. On the same day, Bursa Malaysia’s FBM KLCI shed 17.24 points at mid-day to 1,491.74.

The speculations and uncertainties got so bad that Anwar had to issue a statement on October 12, one day before his audience with the Yang di-Pertuan Agong, that he was not linked to the active movements involving certain counters on the bourse. But the damage has been done.

The uncertainty has yet to subside as political blocs seem to be regrouping following Anwar’s palace audience, with Umno threatening to withdraw its support from Perikatan Nasional while DAP and Amanah appear willing to join forces with Umno and PAS.

Personally, I got my fingers burnt in the share market during the period following Anwar’s announcement, despite my portfolio slowly making steady gains since the movement-control order (MCO) started to be relaxed in May.

While my losses may be insignificant in the larger scheme of things, I can attest that the business community detests uncertainties like the one that followed Anwar’s announcement. Investors are spooked each time there’s a change in government, or even a potential change in one.

We prefer certainty so that we can plan ahead and not be caught unawares with sudden policy changes or new administrative ruling.

One good example of the disruption brought about by changes in government is the cabinet’s decision in August to retender the massive Klang Valley double-tracking project (KVDT 2).

The retendering is made despite the project being first awarded by the Barisan Nasional government before the 2018 general election. Subsequently, the Pakatan Harapan government slashed the quantum for the project. After Perikatan Nasional came into power, the massive infrastructural project was retendered again.

At the end of the day, it’s the public who are at the losing end with the unnecessary delay. With investors spooked, a rising number are already exploring the possibility of putting their money in other emerging markets like Vietnam. The risk of capital flight is real.

Anwar’s bravado in trying to trigger a change in government is most unnecessary, and if I may add, selfish. Even during normal times, we can do without such uncertainty, much less at a time of unprecedented economic crisis caused by the Covid-19 pandemic.

To me, it borders on economic sabotage. Politics should not be at the expense of livelihoods and undermining our own economic fundamentals during these trying times.

A change of government can be made through the ballot box or in the legislature without spooking the investors and heightening their anxiety.

Anything beyond that during this time is selfish and only exposes one’s true colours. – October 16, 2020.

* Loong Sze Kuan reads The Malaysian Insight.

* This is the opinion of the writer or publication and does not necessarily represent the views of The Malaysian Insight. Article may be edited for brevity and clarity.