KUALA LUMPUR: Disciplined fiscal management, improved governance and policy reforms strengthen the ringgit to the best performance in Asia this year, says Datuk Seri Anwar Ibrahim.
He said these measures boosted investor confidence and helped Malaysia exit a services deficit for the first time in 14 years.
“In the third quarter of 2025, we recorded a surplus for the first time after 14 years,” he said on Tuesday (Nov 18).
“The services account registered a surplus of RM0.7bil as a result of our economic planning,” added Anwar.
He said the current account balance is also positive at 12.2% in the same quarter.
Anwar said this in response to Jimmy Puah Wee Tse (PH–Tebrau) during the Minister's Question Time.
Puah asked about the drivers behind the ringgit’s rise to its highest level against the US dollar in nearly four years.
He also asked how this benefits the wider economy.
Anwar said that as of November 14 the ringgit strengthened by 8.21% against the US dollar and rose 5.66% against the Australian dollar and 5.26% against the Taiwan dollar.
He said it also appreciated against the Chinese yuan and Singapore dollar.
“The increase is significant and reflects investor confidence,” he said.
He attributed the ringgit’s resilience to targeted subsidy rationalisation that directs resources efficiently to lower income groups.
“The strength of the ringgit is due to the policies we put in place from the start,” he said.
“Targeted subsidies ensure resources benefit those who need them most. We have stopped subsidies that did not directly help lower income groups,” added Anwar.
“That is why adjustments, including for RON95 petrol, have had a very positive impact,” he said.
He said some may not be fully satisfied but the public has generally welcomed the changes, citing that people in Sabah were pleased with the reduction in petrol prices during his recent visit.
