8-6-2023 (KUALA LUMPUR) The Central Bank of Malaysia emphasized the importance of implementing structural reforms to bolster growth prospects and attract increased investment opportunities in order to strengthen the country’s currency, the ringgit, according to a statement released on Thursday.
Governor Nor Shamsiah Mohd Yunus highlighted the recent pressures faced by the ringgit, signaling the need for long-term solutions rather than short-term fixes. She emphasized that such reforms would stimulate demand for the ringgit and contribute to its sustained appreciation over time.
The ringgit has experienced a decline of 4.8% since the beginning of the year, marking its third consecutive annual decrease in value.
Addressing the issue of inflation, Nor Shamsiah acknowledged that while cost pressures were easing, inflation rates remained elevated, partly driven by robust demand.
The central bank’s statement underscores the need for strategic measures to enhance Malaysia’s economic outlook, attract investments, and stabilize the ringgit’s value amidst the prevailing challenges.
