KUALA LUMPUR: The ringgit continues to be on the right track despite global uncertainty and volatility, says Datuk Seri Abdul Rasheed Ghaffour.
The Bank Negara Governor said Malaysia’s strong fundamentals and positive prospects are key factors supporting the ringgit.
“The ringgit is heading in the right direction. Given the narrowing interest rate differential we are seeing, it should bode well for the ringgit.
“Considering the strong economic fundamentals and prospects that we have, I believe these factors are all positive for the ringgit,” he said at the China Conference Southeast Asia 2025 yesterday.
Abdul Rasheed said the ringgit is market-determined and the central bank does not set any targets for the ringgit.
“I wish I have a crystal ball to see what the value of ringgit will be by year-end.
“But what is important is that our main goal is to ensure it is according to the market and there is no excessive volatility,” he said when asked to give his forecast on the value of ringgit by the end of the year.
Abdul Rasheed said despite challenges, it is important for Malaysia and many other Asean countries to enter this period from a position of strength.
“In terms of our economy, it is very well diversified, in terms of structure. Even for our trades, our (trade) partners are also very well diversified,” he said.
Malaysia, he added, also has a strong economic prospect with investments continuing to come into the country.
“With the economy doing well, we need to keep on growing, so we continue to support ourselves.
“Malaysia is part of Asean. It is part of the Asian region, which is currently the centre of growth,” he said, pointing to the country’s strong financial and investment sectors.
“From these points, we have a very good footing. This is where we can support economic growth,” he said.
At 6pm yesterday, the ringgit rose to 4.4300/4360 versus the greenback compared to Friday’s close of 4.4310/4385.
