Given the growing influence of China in Malaysia, a commentary posted on the ASEAN website has urged Malaysians to welcome what it believes could be a beneficial move.
The editorial was written on Friday, March 16, 2018. However, ASEAN Today pointed out that China had stepped in to buy Malaysian assets following the 1MDB scandal in 2015.
1MDB Scandal
On 28 February 2018, Indonesia seized a luxury yacht on the island of Bali sought by the US as part of a multibillion-dollar corruption investigation linked to Malaysian state fund 1Malaysia Development Berhad (1MDB) and wanted businessman Jho Low.
1MDB is at the centre of money-laundering investigations in at least six countries, including the United States, Switzerland and Singapore. Malaysian Prime Minister Najib Razak set up 1MDB in 2009 and served as chairman of its advisory board until last year. He and the fund have denied any wrongdoing.
"Najib (Razak) and his country remain in China's debt. Malaysia has limited ability to strike deals and push for investment from elsewhere," reads the commentary.
The website argued that Najib had "few" other options available to him following the 1MDB affair, therefore accepting Chinese money and influence was a necessary compromise.
"Malaysia cannot make the strides forward it needs to without help. The failure of recent development projects (e.g. Iskandar Malaysia, Cyberjaya and Bandar Malaysia) is enough evidence of that. Chinese influence is here to stay.
"(Najib) must now do his best to deliver a return on that investment," the website article states.
Domestic hostilities towards China are unlikely, said ASEAN Today, due to the historical ties between the two countries, and Malaysia's demure approach towards Chinese encroachment in the South China Sea.
Will influence turn into control?
In light of all this, ASEAN Today said, it was not surprising that some surveys have shown that three-quarters of Malaysians welcome Chinese influence.
"China could influence Malaysia more than other countries without risking significant pushback," said the website.
However, in terms of regional relations, ASEAN Today warned that Malaysia's pliancy to Beijing's influence would likely rile up its Asean partners and threaten unity.
"ASEAN, as a bloc, cannot stand up to Beijing if one or more of its members rely on Chinese money," it said.
Relying too much on China may also cause problems for Malaysia's economy, because Chinese firms tend to rely on their own workers, leaving local firms unable to compete.
"If Malaysia is to cede influence to China, it cannot do so without gaining something. Otherwise, China will shift from influencing Malaysia towards controlling it.
"That is a delicate balance to strike. If Malaysia can manage it, China's influence could do the country more good than harm," the paper added.
