By Ioannis Gatsiounis
[...] The push for more democracy in authoritarian Malaysia leaves its ethnic Chinese and Indian minority groups particularly vulnerable - a fact reflected in the racial bashing at this year's UMNO assembly. At the same time, UMNO's preoccupation with racial politics raises growing doubts about its ability to lead the country forward faced with the challenge of China's economic emergence. The party leadership has openly acknowledged the need for Malaysia to change course if it is to remain competitive with its fast-rising neighbors.
Economic growth slowed from 7.2% in 2004 to 5.2% last year, while foreign investment dropped 15% to $3.9 billion. Prime Minister Abdullah Badawi has promoted his concept of Islam Hadhari, or Civilizational Islam, a modernist interpretation of the faith that stresses moderation and technological and economic competitiveness. In that direction, his party has also introduced plans to transform Malaysia into a regional information technology, agricultural and biotech hub.
"We need an economic transformation," Abdullah said in his opening address at the UMNO assembly. Yet tight curbs on personal freedoms, implemented to curb racial tensions, have hindered the open inquiry and innovative spirit necessary to achieve Abdullah's vision. The next phase of economic development will require coincident social transformation, reforms the current race-obsessed political leadership is reluctant to implement.
At the annual assembly, meanwhile, UMNO youth chief Hishammudin Hussein urged the government to reject proposals for an inter-faith commission intended to foster better understanding among Malaysia's various religious groups.
He brandished a Malay dagger, known locally as a keris, when speaking. Some delegates, it seemed, urged him to go further. "Datuk Hisham has unsheathed his keris, waved his keris, kissed his keris. We want to ask Datuk Hisham, when is he going to use it?" said UMNO Perlis delegate Hashim Suboh. [...]
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