KUALA LUMPUR: Analysts are worried that the development of Selangor, Penang and Negri Sembilan would go downhill, if these states fall to Perikatan Nasional (PN).

Their concern stems from the coalition's poor track record in developing states under their control particularly Kelantan and Terengganu as well as the perceived lack of competency in charting growth for these states.

Zooming in on Selangor and Penang, they said prospects for investors in these economic powerhouses, would be grim if PN were to wrest the states from Pakatan Harapan.

They said Pas, as the dominant party in the opposition coalition, lacked any positive track record in attracting foreign direct investments (FDI) and initiating growth in states it managed.

Nusantara Academy for Strategic Research senior fellow Professor Azmi Hassan said the development of Pas-led states such as Kelantan and Terengganu had been stagnant while Parti Pribumi Bersatu Malaysia (Bersatu), a fellow PN component party, had no history to show its capability to develop a state.

"The potential impact from PN's win on these three states is that PN has Pas and the latter is very dominant in the coalition.

"Bersatu has not shown that it is capable of developing a state and as for Pas leadership, it is very clear .. Look at Kelantan and Terengganu stagnant development.

"This is not to paint a negative picture but it will be worrying if PN gets a hold of these states," he told the New Straits Times.

He said state governments play a crucial role in attracting foreign investors and facilitating investments by having good infrastructure, as demonstrated in Penang and Selangor.

"What is happening in Pas-led states is a clear example of what will happen to Pakatan Harapan (PH)-led states if PN wins the majority seats in these states," he added.

Singapore Institute of International Affairs senior fellow Dr Oh Ei Sun said the Islamist party does not appear to prioritise socioeconomic development but instead focus on spiritual attainment.

"Pas does not appear to prioritise socioeconomic development but instead focuses on spiritual attainment, which may not be very reassuring for mainstream investors and businesses.

"Regardless of PH's economic performance over the last five years, nothing is more scary to ordinary businesses than the spectre of a state ruled by Pas," he said.

Professor James Chin of the University of Tasmania's Asia Institute said the mismatch between the state and federal governments should PN win at the state level, would impact foreign direct investment (FDI).

"Foreign investors tend to deal with the Malaysian Investment Development Authority and Investment (MIDA), Trade and Industry Ministry and they do not like conflict between the federal and state government so that will have an impact on investments.

"The impact will be indirect and it would take at least 12 months to see the after effects on investments if a PN takeover happens at the state level," he said.

PN, which is made up of Pas, Bersatu and Gerakan face a PH-Barisan Nasional partnership in the Selangor, Penang, Negri Sembilan, Kelantan, Terengganu and Kedah state elections.

Other parties that are vying seats in the state polls include Malaysian United Democratic Alliance (Muda), Parti Rakyat Malaysia, Parti Sosialis Malaysia, Youth Front Party and Parti Utama Rakyat. In total, the electoral contests will involve a total of 572 candidates and 245 seats.

https://www.nst.com.my/news/politics/2023/07/937137/analysts-it-could-all-go-downhill-if-economic-powerhouse-states-fall