Weak ringgit hurting SMEs

PETALING JAYA: Many small and medium-sized enterprises (SMEs) in Malaysia are feeling the pinch of ringgit weakness, as it has led to an increase in cost pressures on their operations.

According to the SME Association of Malaysia, the decline in the value of ringgit vis-à-vis a rising US dollar has not only adversely affected the bottom lines of many companies, as raw material input costs increase, but the currency volatility has also resulted in cash flow problems for some.