The Hidden Costs of Look East

Prime Minister Anwar Ibrahim has expressed Malaysia's interest in gleaning insights from China, alongside its traditional focus on Japan and South Korea for economic development. During an interview in Tokyo, Anwar underscored the necessity of reevaluating the Look East Policy, initially introduced by the fourth prime minister, Dr. Mahathir Mohamad, in 1982. Originally designed to adopt economic modernization strategies from Japan and South Korea, Anwar now emphasizes the broader inclusion of China in the "Look East" framework.

The Look East Policy, instituted during Mahathir's initial tenure as prime minister in the 1980s, can serve as a platform to explore the developmental models of Asian giants and identify new possibilities and opportunities, especially as the government addresses challenges stemming from the Covid-19 pandemic. However, caution is warranted regarding the potential risks associated with another government led by Mahathir, particularly concerning crony capitalism and preferential treatment for the elite few.

Mahathir's previous implementation of the Look East Policy in the 80s and 90s was marred by allegations of corruption and favoritism toward certain Korean and Japanese companies compliant with Mahathir's demands. This period was characterized by "bumiputera capitalism," where public assets, including major projects like the North-South Highway and water infrastructure, were privatized, benefiting political elites and corporate patrons while often leading to bailouts at the expense of the public.

During the brief 22 months of Pakatan Harapan, signs of wealth concentration emerged, exemplified by instances such as Opcom Cables securing a significant contract and the Mahathir family's involvement in Petron Fuel International Bhd. The proximity to Mahathir often correlated with economic prosperity, as reflected in the lucrative business dealings and increased wealth of individuals close to the former prime minister.

With hindsight, some accountability rests with the public for recent events. The pattern persists that those closely associated with Mahathir tend to benefit economically, securing favorable tenders, financing, and government support. The disheartening reality is that Pakatan Harapan, despite initial promise, failed to deliver on its transformative agenda, as evidenced by questionable appointments and compromises.

The disappointment in Pakatan Harapan's performance leading up to Langkah Sheraton was evident, with notable figures like Nurul Izzah and Rafizi seemingly sidelined. The choices made during Mahathir's tenure, including the inclusion of figures like Redzuan Yusof and Rina Harun, raised concerns about corruption and abuse of power, as acknowledged even by opposition leader Lim Kit Siang.

As discussions around the Look East Policy continue, vigilance is crucial to prevent potential excesses and ensure transparent governance. Learning from past experiences, Malaysians must remain alert to safeguard against corruption, power abuse, and compromises that may undermine the intended objectives of economic development policies.