Morning Brief

Last Friday, the Kota Kinabalu High Court ruled in favor of Sabah,  declaring that the federal government acted unlawfully by withholding 40% of the state’s revenue from 1974 to 2021. Prof. James Chin, Professor in Asian Studies, University of Tasmania tells us what the ramifications of this are especially since the Sabah elections will be held soon.

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FTSE Russell  has announced that Vietnam will  be upgrading from frontier to Emerging markets in September 2026 after a final review in March. This upgrade is expected to draw strong investment interest, with passive inflows estimated at around 1.5 billion US dollars and potentially more from active investors. Khoon Goh, Head of Asia Research, ANZ tells us how the Vietnamese economy will do in 2026 and the direction of the Dong.

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Last Friday, Prime Minister Datuk Seri Anwar Ibrahim said that the government is considering several measures, including a ban on smartphones for students under 16, in the wake of several shocking crimes involving underaged perpetrators. Goh Cia Yee, criminal lawyer, joins us in discussing the legal and social aspects of juvenile crime.

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The KLIA aerotrain continues to make headlines for the wrong reasons having suffered nearly two dozen disruptions in just 3 months since it resumed services. Who bears the responsibility for these mishaps and what does it say about broader upgrades to the national airport? We discuss this with aviation infrastructure specialist Khair Mirza, Modalis Infrastructure Partners. 

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Alvin Tai, Analyst at Bloomberg Intelligence, remains positive on the palm oil sector for the rest of the year, despite weaker soybean prices after China stopped buying from the U.S. However, he notes that the 2026 outlook will hinge on Indonesia’s B50 biodiesel mandate and its implementation.

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The government is looking to introduce legislation that would hold senders and recipients of goods accountable for overloaded lorries, closing a loophole that some in the industry have long been pointing out. How far will this go to prevent accidents caused by the overloading of haulage vehicles? We hear from Prof. Dr. Farhan Sadullah of University Putra Malaysia.

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Perikatan Nasional has tabled its own response to Budget 2026 under the theme “Fixing the Structure, Revitalising the Economy, and Easing the People’s Burden”. Wan Ahmad Fayhsal Wan Ahmad Kamal, the MP for Machang from Bersatu discusses PN’s key criticisms of the government’s fiscal strategy and its alternative. Wan Ahmad also clarifies his recent suspension from his party.

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Similar to previous years, the education sector is the biggest beneficiary under Budget 2026 with a headline allocation of RM66 billion. But are funds being channelled to address the structural issues that plague our education system? We get reactions to the education budget with Dr. Wan Chang Da of Taylor’s University.

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The Ministry of Defence was allocated RM21.7 billion ringgit, a 3% increase from last year. How far will this funding go in enhancing Malaysia’s defence capabilities and safeguarding national security? We get insights from Marhalim Abas, Freelance Writer On Defence and National Security Issues.

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The U.S. and China have been trading blows this week over cooking oil, soybeans and renewed tariff threats, a confrontation that could have serious repercussions for the global economy. Dr. Deborah K. Elms, Head of Trade Policy at the Hinrich Foundation, believes Trump’s gamble that Xi will back down is unlikely to pay off.

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