Ringgit Stays Strong, Up 5.03 Pct Versus US Dollar As At Nov 4 - Amir Hamzah

KUALA LUMPUR, Nov 5 (Bernama) -- The ringgit’s value is still strong amid recent market developments and adjustments, with the local note rising by 5.03 per cent against the US dollar as at Nov 4, 2024.

Finance Minister II Datuk Seri Amir Hamzah Azizan said that at the same time, the ringgit has strengthened against regional currencies -- by 13.3 per cent against the yen, 12.2 per cent against the won, 7.5 per cent against the rupiah, and 3.7 per cent against the baht. 

“In terms of global developments, changes in the expectation of lower monetary policy rates in major global economies, particularly in the United States (US), have contributed to the stronger ringgit.

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“Global factors such as geopolitical unrest in the Middle East and elections in the US have also contributed to the volatility of the global financial market, including the ringgit and emerging market currencies," he said during the question-and-answer session at the Dewan Rakyat today.

Amir Hamzah was replying to a question from Lim Guan Eng (PH-Bagan) about the ringgit's performance this year compared to the US dollar and other foreign currencies and its reasonable value in line with the rise in foreign investment, the encouraging gross domestic product growth, and a controlled inflation rate. 

In addition to external developments, Amir Hamzah said the Malaysian economy is also developing well, having grown by an average of 5.1 per cent as at the third quarter of 2024 (3Q 2024).

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"This includes the preliminary estimate of 5.3 per cent by the Department of Statistics Malaysia for 3Q 2024. Subsequently, the national economy is expected to record a growth of between 4.8 per cent and 5.3 per cent for the entire year 2024.

"Inflation is still low and under control at 1.8 per cent in September 2024. The amount of approved foreign direct investment in the first half of this year stands at RM160 billion compared to RM136 billion in the same period in 2023," he said.

According to Amir Hamzah, the positive prospects of the Malaysian economy, including the government's strong commitment to implementing policies under the MADANI framework, will continue to support the ringgit's performance.

“The government aims to ensure that the ringgit is traded in an orderly manner.

“As such, Bank Negara Malaysia is always ready to take steps in the foreign exchange market (FX intervention) to curb currency movements that are considered excessive,” he added. 

-- BERNAMA