A health worker wearing personal protective equipment walks past an alley with a mural depicting medical leaders in front of the Ajwa Clinic in Shah Alam, Malaysia.
Annice Lyn | SOUP Pictures | LightRocket via Getty Images
SINGAPORE – Shares and the currency of Malaysia fell on Tuesday after the king declared a state of emergency that would last until August 1, as the country intensifies measures to curb the spread of Covid-19 .
Following the announcement, the US-Malaysian dollar ringgit pair hit a high of 4,072, or about 0.54% more than the previous close. Since then, the currency pair has traded around 4,061, 0.27% higher than Monday’s close.
Meanwhile, the FTSE Bursa Malaysia KLCI benchmark fell about 1.45% from the previous day.
A statement in Malay issued by the palace, translated by CNBC, said the first step Muhyiddin Yassin called for the “proactive step” due to the growing Covid infection in the country.
The state of emergency could end before August 1 if the number of daily cases is controlled and effectively reduced, according to the statement.
In a televised speech after the statement was released, Muhyiddin said there will be no curfew and that the civilian government and judicial system will continue to function. But parliament will be suspended and no elections will be held for the entire period, he added.
The prime minister also said Malaysia remains “open to business” and that the emergency period will give the country “much-needed calm and stability”.
Muhyiddin has a narrow majority in parliament and has been facing pressure from his ruling coalition to step down and call for a speedy election.
In October, he had also sought a state of emergency, a move that many analysts considered an attempt to preserve his political position. The king rejected the request at that time.
It arises in Covid cases
The state of emergency comes after Malaysian cases of Covid-19 have grown in recent months. Last week, the number of daily cases reported exceeded 3,000 for the first time since the outbreak, according to data collected by Johns Hopkins University.
Malaysia has reported more than 138,200 cumulative cases of Covid-19 and 555 deaths to date, according to Hopkins.
The move also followed Muhyiddin’s announcement a day before a national ban on interstate travel, as well as a two-week shutdown in various states and territories that will begin Wednesday.
“The current situation is really very alarming. Our healthcare system is under tremendous pressure now than at any other time since the start of the pandemic,” the prime minister said in a televised speech on Monday.