Malaysia’s Hung Parliament Clouds Market Outlook, Analysts Say
- Election outcome extends political overhang for markets
- Party leaders have until Monday afternoon to form alliances
Supporters of the Pakatan Harapan (PH) cheer at an election event in Subang, on Nov. 20.
Photographer: Samsul Said/BloombergThis article is for subscribers only.
Malaysia saw its first-ever hung parliament in Saturday’s election after none of the three major coalitions won enough seats to form a majority, extending the political crisis in an economy on a fragile rebound.
While uncertainty remains, investors are expected to take the results in their stride as most have factored in a hung parliament as a “default position,” according to analysts.