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Significance

Mahathir Mohamad, whom Muhyiddin replaced as premier earlier this year, has formed a new opposition party that stands apart from the main opposition Pakatan Harapan (PH) alliance. Mistrust among political elites is growing ahead of a snap election in eastern Malaysia’s Sabah state.

Impacts

UMNO will quickly turn attention to negotiations with partners over seat allocations for the next parliamentary poll.

Mahathir’s new party will erode support for the PPBM, especially at state level.

Corruption trials will continue to blight both government and opposition leaders.

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