Petaling Jaya: A Barisan Nasional victory in the 13th general election will ensure that growth projects like those under the Economic Transformation Programme be implemented smoothly, economists said.
Chief economist at RAM Rating Services Bhd Dr Yeah Kim Leng said Barisan's victory in the general election would ensure growth projects, such as those under the Economic Transformation Programme (ETP) would be implemented smoothly.
"A win by the Opposition will likely create uncertainty, at least in the short-term," he added.
On Monday, Nomura Singapore Ltd executive director and economist Euben Paracuelles said a win by Barisan will ensure the country's future economic growth.
"The generous budgets announced in the last two years will help the ruling government to garner support from different sectors of the economy, alongside the new and existing investments under the ETP which would continue to support growth in the long run. A weaker than expected coalition or a win by the Opposition will raise questions about the political transition and the reform agenda," Paracuelles said.
However, Paracuelles believed that Barisan would remain in power, adding that post-election, the Government should focus on consolidating its fiscal plans given that public debt has risen over the past two years to fuel growth.
Malaysian Institute of Economic Research (MIER) executive director and economist Zakariah Abdul Rashid said a Barisan win would ensure crucial reforms in the public sector accounts are carried out.
He said reforms were needed as oil and gas revenue had mainly been funding public sector expenditure through dividends from Petronas.
Maybank Investment Bank chief economist Suhaimi Illias said should there be political continuity, it was crucial for the government, social and economic reforms as well as restructuring be stepped up to avoid the perception that the Government was backtracking after the elections, or that the transformation programmes were pre-election gimmicks.--Courtesy of The Star Online