FMM wants ‘more flexibility’

PETALING JAYA: Bank Negara Malaysia’s measures to bolster the ringgit could make it hard for exporters to do business and may even force small and medium enterprises (SMEs) to move their earnings offshore, says the Federation of Malaysian Manufactu­rers (FMM).

Starting tomorrow, the central bank requires exporters, who tend to keep proceeds in foreign currencies, to convert 75% of their money into ringgit. This exchange could see Malaysia’s reserves increasing by more than US$18bil (RM80bil).