KUALA LUMPUR: The ringgit closed higher against the US dollar yesterday, following the stronger-than-expected gross domestic product (GDP) announcement last Friday, an economist says.
At 6pm, the ringgit rose to 3.8945/9055 versus the greenback from last Friday’s close of 3.9060/9115.
Bank Muamalat Malaysia Bhd chief economist Mohd Afzanizam Abdul Rashid said the current official GDP forecast of 4% to 4.5% for 2026 is likely to be revised upward, supported by the country’s resilient economy amidst external uncertainties.
“This would mean that the overnight policy rate would be kept steady in 2026 as there is no urgency to overstimulate the economy,” he told Bernama.
The United States consumer price index inflation has renewed expectations that the US Federal Reserve will resume its monetary easing in the second half of financial year 2026.
