`


THERE IS NO GOD EXCEPT ALLAH
read:
MALAYSIA Tanah Tumpah Darahku

LOVE MALAYSIA!!!


 


Saturday, August 1, 2015

Deputy minister: Ringgit’s fall due to external factors

Chua Tee Yong says the ringgit is feeling the impact of the drop in commodity prices, and the possibility of the US raising its interest rates
Chua-Tee-Yong,-ringgit
KUALA LUMPUR: The ringgit’s current decline is due to external factors, including the fall in global oil prices and pressure from the US dollar.
Deputy Finance Minister Chua Tee Yong said oil prices fell to below USD50 per barrel in July.
“In respect of the ringgit, we need to understand that this is a phenomenon. The ringgit’s exchange rate is not determined by us.
“At the same time, if we look at China, its shares index has plunged up to 30 per cent within a short time period,” he added.
He said this after attending the Securities Commission’s Hari Raya gathering here today.
The ringgit has declined by 8.4 per cent from the 3.4965 level recorded at the end of last year.
Chua said the decline in the exchange rate was also being experienced by other countries such as Australia, with the percentage being higher than that of the ringgit.
“This shows that (currencies globally) are at present feeling the impact of the drop in commodity prices, alongside the possibility of the United States raising its interest rates,” he added.
Although the government has no plans to peg the ringgit at RM3.80 to the greenback, he was confident that Bank Negara Malaysia, from the aspect of monetary policy, would provide the needed oversight to ensure any change in the exchange rate was orderly.
Whether the ringgit will continue to fall or recover, said Chua, could not be predicted at the moment, as oil prices which remained a key source of income for the country, remained unpredictable.
“I am confident that the fall in the ringgit will attract even more foreign investors and assist in respect of exports,” he added.
– BERNAMA

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.