The MH17 tragedy is a sickening body blow for a nation that is already reeling from the loss of MH370, according to experts from Murdoch University's Asia Research Centre.
As Malaysia struggles with the mystery and misery of MH370, a second aviation disaster has again left the country in shock and claimed Australian lives.
Rajat Ganguly and Ranald Taylor are senior lecturers at Murdoch University, a community mourning the death of MH17 passenger and former staff member Nick Norris.
Dr Ganguly said the latest tragedy would cause further damage to Malaysia's tourism industry, government and public morale.
"I think this is going to be terrible for Malaysia's national psyche," he said. "People are still coming to grips with MH370.
"There have been no answers, no funerals and they're still living in hope that their loved ones are being held hostage somewhere by terrorists.
"Now, you have body parts scattered all over Ukraine."
The international relations and security expert said the Malaysian Government had been in crisis mode since MH370 disappeared in March.
He said a second investigation could only distract the Government from domestic issues.
"MH370 made the Government look incompetent," he said.
"A lot of people came to the conclusion they know something they weren't telling anyone.
"At least with this one they will be able to provide some answers.
"But there's a massive workload now and the Government has to co-ordinate that."
Dr Taylor, an economics lecturer, said he believed MH17 would have greater consequences for Malaysia's Government than its economy.
Malaysian Association of WA president Jordan Sugunasingam said Malaysians would be asking themselves what they had done wrong.