Malaysia faces the risk of transforming into a transit hub for terrorism, as IS-linked Bangladeshis recruit migrant workers through social media platforms.
In the bustling financial landscape of early July 2025, the Malaysian ringgit (MYR) demonstrated a notable resilience, strengthening against a basket of major currencies. This positive trend, which saw the MYR appreciating approximately 5.86% against the US dollar (USD) so far this year, has raised optimistic sentiments among investors and economists alike.
As of the start of July, the exchange rate between the MYR and USD reached highs of about 0.2382 USD per ringgit. This strengthening has been reflected in the declining USD/MYR rate, which dropped about 5.54%, meaning fewer ringgits are needed to buy one US dollar. This shift is a testament to the ringgit's robustness amid ongoing global economic pressures, including US tariff measures and currency market volatility.
Bank Negara Malaysia's data supports this positive outlook, showing consistent daily exchange rates around 4.19 to 4.20 MYR per USD in early July 2025. Forecasts for the remainder of 2025 indicate some fluctuation but generally moderate strengthening or stability. For instance, projections for July show the USD/MYR rate starting at around 4.70 and potentially rising slightly to about 4.84 before softening again in August and September.
The ringgit's recent performance suggests that Malaysia may be effectively managing tariff impacts or benefiting from other factors such as commodity prices, foreign investment, or regional trade dynamics. However, it's crucial to note that the data does not explicitly detail the direct impact of US tariff measures on the ringgit.
In the regional context, the ringgit also fared well against its Asean counterparts, rising against the Philippine peso and the Singapore dollar, and appreciating versus the Japanese yen, euro, and British pound. However, it slipped against the Thai baht and the Indonesian rupiah.
Investors remain cautious, awaiting greater clarity on trade policy directions and their broader implications. There is speculation that the finalised tariffs could be less severe than the initial proposals announced in early April. Despite these uncertainties, the ringgit's positive trend has helped ease some market concerns about the upcoming US tariff measures.
Dr Mohd Afzanizam, the chief economist at Bank Muamalat Malaysia Bhd, noted that overall sentiment remained cautious. He highlighted that the ringgit was weaker earlier in the session, slipping to 4.2383, but recovered later in the day to close at 4.2195/2255, slightly higher than the 6pm rate of 4.2180/2260.
This outlook suggests a cautious optimism for the ringgit, with ongoing market monitoring needed due to the unpredictable nature of global tariffs and currency shifts. As the economic landscape continues to evolve, the Malaysian ringgit's resilience and adaptability serve as a beacon of hope for investors and a testament to the nation's economic strength.
- Despite the ongoing trade uncertainties with the US, the Malaysian ringgit has shown resilience in the technology sector, with news indicating its appreciation against major currencies such as the US dollar, euro, British pound, and Japanese yen.
- Amidst the backdrop of Kuala Lumpur's general-news landscape, the strengthening Malaysian ringgit has ruled the headlines in the realm of crime and justice, as its positive trend has potentially helped ease market concerns about upcoming US tariff measures.
- In the context of Malaysia's local news, the ringgit's robust performance against its Asean counterparts, like the Philippine peso and Singapore dollar, has been a significant focus, despite slipping against the Thai baht and Indonesian rupiah.
