Indonesian Political, Business & Finance News

Anwar Ibrahim fired from all govt positions

| Source: AP

Anwar Ibrahim fired from all govt positions

KUALA LUMPUR (AP): Malaysia's Deputy Prime Minister Anwar
Ibrahim was fired on Wednesday after months of economic policy
differences with the prime minister.

A three-paragraph statement issued by the prime minister's
department said Anwar had been removed of all other positions,
including that of finance minister.

Anwar's firing came after weeks of rumors about his being
fired or quitting, always followed by emphatic denials.

Dozens of Anwar supporters flocked to his residence Wednesday
night, pushing through a horde of reporters who had been camped
outside his house all afternoon.

Three truckloads of riot police were deployed around the
nearby residence of Prime Minister Mahathir Mohamad, apparently
to prevent protests by Anwar supporters.

"He didn't want to resign, so he was sacked," said a close
aide to Mahathir. The aide, who asked not to be identified, said
Anwar's successor had not yet been chosen.

The aide said the Supreme Council of the ruling United Malays
National Organization would meet Thursday to discuss Anwar's
position in the party. Anwar is UMNO vice president.

Lim Kit Siang, the opposition leader in Parliament, said the
move would push the Southeast Asian country into further chaos
during the regional economic crisis.

"The sacking of the deputy prime minister will plunge the
country into an unprecedented political crisis and turmoil," said
Lim. "Unless Dr. Mahathir can convincingly establish the
legitimacy of the drastic action."

The 51-year-old Anwar, for years seen as Mahathir's successor,
had been left out of economic decisions for months after
differing with his boss on the course for economic recovery.

Malaysia's currency, the ringgit, and the markets have
plummeted since the Asian economic crisis broke out in July 1997.

Anwar and the central bank had preferred high interest rates
and austerity measures to control Malaysia's sliding currency,
the ringgit. Mahathir and his chief economic aide, Daim
Zainuddin, have pushed through a policy of greater government
spending and lower rates to boost the economy.

When Bank Negara governor Ahmad Mohamed Don and his deputy,
Fong Weng Phak, quit last week in opposition to Mahathir's plans
to fix the ringgit at 3.8 to the U.S. dollar, the writing for
Anwar was on the wall.

On Tuesday, when Mahathir and central bank officials announced
sweeping currency exchange controls, Anwar was nowhere to be
seen.

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