PETALING JAYA: Emerging Asia's currencies including the ringgit, which had risen until recently, may face increased downward pressure as governments begin loosening monetary policy or boost spending in support of economies feeling the impact from lower demand among the Western world's rich consumers.
Analysts pointed out that the short-term outlook for emerging Asian currencies remained dim amid fears of a slump in US economic activity and concerns over the eurozone's sovereign outlook where political indecisiveness has impacted economic activities.