Malaysian ruling coalition suffers poll debacle

By Jalil Hamid

KUALA LUMPUR (Reuters) - Malaysia's ruling party faced its biggest electoral debacle on Sunday, as the opposition won five of 13 states, putting a dark cloud on the prime minister's political future.

Prime Minister Abdullah Ahmad Badawi's multi-racial National Front coalition managed to win just a simple majority in parliament and will form the government at the federal level.

But it lost a crucial two-thirds parliamentary majority it has held for most of its 50-year-long rule, the election body said. That level is needed to change the constitution.

The leftist Chinese-backed Democratic Action Party (DAP) won Penang state, which houses many multinational firms.

The opposition Islamist party PAS scored shock victories in the northern heartland states of Kedah and Perak and easily retained power in its stronghold in northeastern Kelantan state.

DAP and PAS also joined the People's Justice Party, or Parti Keadilan, to take control of the industrial state of Selangor and almost all the seats in capital Kuala Lumpur.

"Tomorrow we will start building a brighter future," opposition icon Anwar Ibrahim, whose wife heads Parti Keadilan, told reporters. "This is a new dawn for Malaysia."

The shock defeat in Penang stirred memories of the last time the ruling coalition failed to win a two-thirds majority, in 1969, when deadly race riots erupted between majority ethnic Malays and minority Chinese.