Malaysia opposition splits, offers some respite for Najib govt

KUALA LUMPUR (Reuters) - Malaysia's three-party opposition alliance has split over a series of policy disputes, including calls for the introduction of an Islamic penal code, a party official said on Tuesday, in a move that will bring some relief to the embattled ruling party. The Pakatan Rakyat opposition alliance made stunning gains in the 2013 election, raising the prospect of a genuine challenge to the coalition that has ruled Malaysia since independence in 1957. Public outrage over a new goods and services tax has further helped the alliance shore up support, some two years before the country is due to go the polls again. But a push by one member, Parti Islam se-Malaysia (PAS), to introduce an Islamic penal code alienated the People's Justice Party and the ethnic Chinese Democratic Action Party (DAP), and led to the split. Secretary-General Lim Guan Eng of DAP said in a statement on Tuesday that the coalition "ceases to exist". "DAP will work towards a broad based and principled new coalition that shall emerge to fill the political vacuum that can rekindle hopes of change to realise our Malaysian dream for a better future for all," Lim said. In February, the alliance was dealt another blow when charismatic leader Anwar Ibrahim was jailed on sedition charges. The split takes pressure off the long-ruling Barisan Nasional coalition, and Prime Minister Najib Razak, who faces calls to step down over the floundering economy and alleged corruption in state fund 1MDB. Recent calls by influential former primer minister Mahathir Mohamad for Najib to step down had further divided the ruling party and its allies, and raised hopes for the opposition to gain more support. (Reporting by Praveen Menon; Editing by Jeremy Laurence)