Prime Minister Anwar Ibrahim said recent positive economic indicators have strengthened the ringgit’s position and underscored growing confidence in Malaysia’s economy.
Ringgit Gains Tied to Broader Recovery
Speaking during question time in the Dewan Rakyat on Tuesday, Anwar – who also holds the finance portfolio – linked the currency’s appreciation directly to improving national economic data.
He stressed that the ringgit’s rise should be seen in the wider context of increasing investment, higher incomes and falling unemployment rates.
“Overall economic figures show a clear positive direction, and this momentum supports the ringgit’s strength and stability,” he explained.
Anwar was responding to a supplementary question from Ku Abd Rahman Ku Ismail (PN-Kubang Pasu) about the reasons for the ringgit’s gains against the US dollar and the effects on Malaysia’s trade.
No Major Disruption to Trade
Anwar assured the House that the stronger ringgit has not disrupted export or import activities.
He said the government remains focused on building a robust economy, maintaining sound policies, reducing the fiscal deficit and continuing to draw in investments.
“A stronger currency generally brings more benefits than drawbacks, though there can be some adjustment for exporters and importers,” he noted.
“Still, no country wants its currency to weaken or drop below its true value,” he added.
Recent Exchange Rate Movement
At 8am on Tuesday, the ringgit traded at 3.9650/9750 against the US dollar, slightly firmer than Monday’s close of 3.9615/9670.
The local unit was last at similar levels in May 2018.
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