KUALA LUMPUR: The late Tun Daim Zainuddin has played an instrumental role in increasing Bumiputera participation in Malaysia's banking industry, economists said.
They described the passing of the former finance minister as a profound loss for Malaysia especially for the banking and real estate sectors, where his influence and vision had long-lasting impact.
Known for his strategic insight and practical approach, Daim played a critical role in shaping Malaysia's financial sector and transforming its urban infrastructure, leaving a legacy that, according to economists contacted by Business Times, will endure for decades.
Nusantara Academy for Strategic Research senior fellow Dr Azmi Hassan shared a poignant reflection on Daim's dual role as a businessman and a statesman saying, "Well, true enough, the late Tun Daim contributed a lot to Malaysia, as a businessman and also as a statesman when he was in the cabinet of the former prime minister Tun Dr Mahathir Mohamad.
"And when I say he contributed a lot, I think we should appreciate that, remember that, especially in the banking sector and the real estate sector. So I guess for the last few weeks, Tun Daim was in the limelight for different reasons. I think we should put that focus to the minimum.
"We should focus on his contribution as a businessman and also as a statesman. I think he did contribute a lot. So it is a great loss to the nation and also to the people of Malaysia," Azmi added.
Reflecting on his legacy, UCSI University Malaysia associate professor of finance and research fellow at the Centre for Market Education Dr Liew Chee Yoong said Daim was instrumental in increasing Bumiputera participation in the domestic banking industry.
"Notably, he acquired a controlling stake in United Malayan Banking Corporation (UMBC), then the country's third-largest bank, demonstrating his strategic acumen in financial services," said Liew.
Furthermore, Liew said in the early 1970s, Daim emerged as a successful property developer in Kuala Lumpur.
As chairman of Peremba, the commercial arm of the Urban Development Authority, he said Daim had spearheaded initiatives to integrate Malays into urban commercial property development and ownership.
"His significant projects include developments in Kuala Lumpur's Golden Triangle, such as the Shangri-La Hotel and adjacent office and apartment complexes.
"Therefore, Daim's passing is indeed a profound loss, as his contributions have left an indelible mark on Malaysia's economic history. The business community, especially within banking and real estate, will remember him for his visionary leadership and the transformative impact of his initiatives," he said.
In a heartfelt tribute, Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said Daim's blend of strategic business insight and adeptness in managing government institutions set him apart as a unique leader.
His ability to transition smoothly between public service and private enterprise speaks volumes about his adaptability and depth of knowledge, Afzanizam added.
"This rare combination has left a lasting impact on Malaysia's economic landscape, reflecting both his foresight and hands-on approach to national development," he added.
Daim passed away on Wednesday morning at the age of 86.
In a brief statement, his family said Daim, who served as finance minister twice, breathed his last at 8.21am at Assunta Hospital in Petaling Jaya.
Daim's first stint as the finance minister was from 1984 to 1991 under Dr Mahathir's first administration, during which he played a key role in managing Malaysia's economy and implementing structural adjustments.
He later returned for a second term from 1999 to 2001, again under Dr Mahathir, to address economic issues following the Asian financial crisis.