GEORGE TOWN, February 19 — The strengthening of the ringgit against the US dollar is a positive sign for Malaysia’s economy, bringing direct benefits to the people as well as the business and investment sectors, said Deputy Investment, Trade and Industry Minister Sim Tze Tzin.
He noted that the ringgit, which stood at around RM4.50 against the US dollar at the start of Prime Minister Anwar Ibrahim’s administration, has strengthened to about RM3.89, reflecting rising foreign investment inflows and increased international tourist arrivals.
Sim said the current level is stable and comfortable, and expressed hope that the continued appreciation would benefit the rakyat. Speaking after attending the Penang Parti Keadilan Rakyat Chinese New Year MADANI Open House at Wisma PKR.
Sim said a firmer ringgit boosts purchasing power, particularly in the agriculture and manufacturing sectors, as import costs for fertiliser, machinery and raw materials become more stable. This helps control food prices and ease living cost pressures.
While making imported technology and equipment more competitive for local industries. He added that although the ringgit is expected to remain stable this year, excessive strengthening could affect exporters.
Making the current level balanced for sustainable economic growth, with the Ministry of Investment, Trade and Industry continuing efforts to attract both foreign and domestic investors.
