chapter  9
13 Pages

Privatizing the Malaysian economy: transition from a national to a market ideology

Malaysia has been one of the most active adherents of the new development strategy of privatization, especially under the prime ministership of Dr Mohammad Mahathir who assumed power in 1981. Privatization, which is essentially a market ideology, stands in sharp contrast to the nationalist ideology of NEP trusteeship discussed in Chapter 7. In an important sense, however, it represents the latest phase of Malaysian development by state nurturing aimed at the creation of a viable Malay middle class within the long-term goal of modernizing the Malays. As such, it finds itself, in much the same way as the nationalist development ideology did, under challenge from a resurgent Islam.