Kuala lumpur: The government still has room in domestic economic policy to ensure a peaceful and stable political environment and increase investor confidence, said Prime Minister Datuk Seri Anwar Ibrahim. The prime minister highlighted that a peaceful political atmosphere helps build investor confidence and promotes investments.

According to BERNAMA News Agency, Anwar emphasized that increased investments lead to job creation and controlled inflation. He made these comments in response to concerns over the conflict in Iran, which is expected to affect the stock market when it opens next Monday. The situation in the Middle East intensified as the US and Israel launched attacks on Iran, describing it as a 'pre-emptive strike' to 'eliminate threats.'

Anwar, who is also the Minister of Finance, noted that while some factors are within the government's control, others are not. He cited the example of controlling prices of locally produced goods, whereas imports depend on trade routes. Anwar explained that a blockade of the Red Sea would increase transportation costs and, consequently, the price of goods.

During a session with students and undergraduates at the Prime Minister's Berbuka Puasa event, Anwar expressed hope for a swift end to the conflict. He also urged ministry officials to stay informed on macroeconomic developments to ensure decisions do not adversely affect stakeholders. An understanding of economic development is crucial, he said, to prevent negative impacts on the national deficit and taxation, which could lead to public discontent.