Recommend Us | About Us | Back to Bernama.com

News | Financial Calculator | Home Financing | Archived News |

 

  Welcome to Bernama Banking & Finance Special Page     
 
Ringgit will retrace value after Turkey crisis subsides
Last update: 15/08/2018

By Rosemarie Khoo Mohd Sani and Aishah Mohmad Afandi

KUALA LUMPUR, Aug 15 (Bernama) -- The Malaysian ringgit has better prospects of retracing its value once Turkey's geopolitical uncertainty and financial crisis subsides, says Sunway University Business School Economics Professor Dr Yeah Kim Leng.

He said that the local unit's depreciation against the Us dollar, which was also the case with emerging currencies, was only temporary as Malaysia had little exposure to the Turkey financial crisis, given the country's improved account surplus.

“Being an oil exporting nation makes us stronger, hence we can withstand surrounding pressure,” he said, adding that Malaysia was less exposed (to the turmoil) compared with Mexico, Argentina. Philippines, Indonesia and India due to the difference in terms of leveraging over foreign borrowings.

“Most of our borrowings are in ringgit and this will cushion us from a greater impact of the US dollar strengthening,” he told Bernama today.

The lira plummeted to a record low of 7.24 to the dollar at the week's start, rattling global markets as tension increased between the United States and Turkey over Ankara's imprisonment of a pastor and other diplomatic issues.

As of 3pm, the ringgit reached 4.1020/1050, an eight-month low compared with yesterday's close of  4.0950/1000.

Meanwhile, the Indian rupee also slipped to a fresh record low on Monday, at 69.93 a dollar, its steepest fall since Sept 3, 2013.

As for the Indonesian rupiah, it had fallen three consecutive days against the dollar to 14,618, the lowest since October 2015.

This was due to the risk of a contagion from Turkey’s financial-market turmoil that has affected emerging markets.

-- BERNAMA

 


 <Back>

Bank Muamalat manages more than RM20 million in waqf fund
No need for Islamic banks consolidation now, says banker

 
Technology will not take over human jobs

5 LIAM CEOs conferred prestigious MII Fellowship
2019 Budget is a caring budget - LIAM

 
AmMetLife, Mydin announce first iMeriah recipient

CLOSING, FRIDAY, NOV 16
US4.1900/1940
S'pore3.0428/0462
100 Yen3.6946/6991
Sterling5.3603/3671
Euro4.7506/7568
Source: Bank Negara Malaysia

Starting April the banks have imposed a 50 sen processing fee on top of the 15 sen stamp duty on each cheque. The fee also applies to those applying for a Banker’s Cheque, Bank Draft and Cashier’s Order. Do you think this additional charge is justified?
Yes
No
Not Sure
 
  Main | News | Insurance

© 2018 BERNAMA. All Rights Reserved. Disclaimer | Privacy Policy| Security Policy
This material may not be published, broadcast, rewritten or redistributed in any form except with the prior written permission of BERNAMA.
Best viewed in Firefox 8.0 & Internet Explorer 8.0 with 1024 x 768 resolution