Malaysia’s ringgit hits a one-year high as economy rebounds

A resurgent ringgit signals Malaysia’s economic turnaround. With foreign investments pouring in and trade optimism rising, is this just the beginning?

, and Administrator

2025 November 7 . 11:07 PM

1 min read

In this image there are jewelries and rings.

Malaysia’s ringgit hits a one-year high as economy rebounds

Malaysia's economy is showing signs of improvement, with the ringgit reaching its strongest level in over a year. This comes amidst improved external demand, particularly following the US-China tariff truce extension. An unnamed analyst cited by Bloomberg predicts further benefits from improved external trade orders.

The ringgit traded at 4.1790 against the US dollar, its highest level since October 2024. This strength was driven by easing bets on a Bank Negara Malaysia (BNM) rate cut and renewed optimism about the country's growth outlook. The ringgit gained support from US$1 billion in foreign bond inflows in October, reversing a US$1.7 billion outflow in September. BNM maintained the overnight policy rate at 3 per cent, with markets expecting it to remain unchanged over the next year.

The ringgit's strength reflects Malaysia's improving economic prospects, boosted by enhanced external demand and positive market sentiment. With BNM maintaining its policy rate and foreign inflows supporting the currency, Malaysia's economy looks set to continue its upward trajectory.