Mahathir's Attacks on Foreign Projects Spook Malaysia Investors

Malaysian Prime Minister Mahathir Mohamad’s vigorous questioning of deals involving foreign money helped him pull off a surprise election win in May. Yet even as his stance continues to play well at home, the economic risks are rising.

Seemingly targeted at China, Mahathir’s rhetoric has left investors uneasy over the future of some big-ticket projects, including a housing development in the south of the country. At the same time as warning against a “new version of colonialism,” however, the 93-year-old leader has also said he’s open to investment that benefits local companies and workers.