KUALA LUMPUR, Feb 27 – Bank Negara Malaysia (BNM) has stepped up its engagements with government-linked investment companies, government-linked companies, corporations and investors to encourage continuous inflows to the foreign exchange market.
Governor Datuk Abdul Rasheed Ghaffour said the ringgit is undervalued.
“Given Malaysia’s positive economic fundamentals and prospects, the ringgit ought to be traded higher,” he said in a brief statement on Tuesday.
Previously, Prime Minister Datuk Seri Anwar Ibrahim said the MADANI Government is not ignoring or taking the decline of the ringgit lightly, and it is making continuous efforts to address the issue while simultaneously assuring Malaysia’s investment figures remain intact.
He said the central bank has been assigned to monitor the ringgit closely, and on the government’s side, relevant ministries and authorities, including the investment council, are conducting daily meetings to tackle the issue.
“It is concerning. But look at the overall investments, which are the biggest ever for the country. Inflation continues to go down, unemployment is down, and growth (is) sustained compared to our neighbours,” the Prime Minister said.
Meanwhile, the ringgit was traded at 4.7770/7805 at 12.32 pm Tuesday after opening at 4.7775/7805 against the greenback compared with Monday’s close of 4.7750/7795.
