After weeks of speculation the chief minister of Sarawak state, Taib Mahmud, announced the dissolution of the state assembly on March 21st, paving the way for state elections. The forthcoming poll is seen as a litmus test of the government's economic strategy and the popularity of the prime minister, Najib Razak. The results of the state election will be closely scrutinised by Mr Najib and could provide a clue as to when a possible snap general election will be held. The government's term does not expire until 2013, but it has traditionally preferred to call a general election a year before its term ends. An overwhelming victory for the ruling Barisan Nasional (BN) coalition in Sarawak will intensify speculation of a snap poll later this year.

Having failed to wrest control of state and parliamentary seats from the ruling coalition in recent by-elections, the opposition will do its utmost to win-over the Sarawak electorate. At present the three founding parties of the opposition alliance, Pakatan Rakyat (PR)-Parti Islam se-Malaysia (PAS), the Democratic Action Party (DAP) and Parti Keadilan Rakya (PKR)-are in tough negotiations with smaller political parties based in Sarawak. The Sarawak National Party (SNAP), which joined the state-level PR in April 2010, is aiming to contest for seats previously held by representatives from the ethnic Dayak group (who are members of the BN). Members of SNAP claim that they can better represent the interests of Dayaks, who make up around one-third of the population in Sarawak. One of the main opposition parties, PKR, has expressed a desire to contest 52 of the 71 seats in the state assembly. The largest challenges for the opposition are a lack of funds and selecting candidates with public appeal.

Opposition forces in Sarawak are aware that their electoral success will depend on them forming a satisfactory electoral pact and their ability to appeal to the discontent sections of the Sarawak population, who often complain that their interests at state level are being neglected by the national government and that their religious freedom and limited autonomy, guaranteed under the 1963 Malaysia Agreement, are also being ignored. Popular resentment of Mr Mamud, who has governed the state since 1981, has grown in recent years amid ongoing revelations about his family's wealth, shareholdings and international property empire that have been posted on various Internet sites.