Funds outflow likely to slow down

MIDF analyst Adam Rahim expected the situation to be better for Malaysia when the new government announces its economic policies and firms up the list of Cabinet ministers. He said Malaysia has seen the least amount of outflows from the equities market from January this year until June 15 compared with other markets in the region.

PETALING JAYA: Although foreign investors have been net sellers of both the equities and bond markets so far this year, the outflows are expected to reverse in the next few months.

Analyst and fund managers said the outflow of money was not only unique to Malaysia and that there were several external factors that have contributed to investors selling down on emerging market currencies.