Malaysian ring­git closes at a 17-year low

The China Post - - MARKETS -

Malaysia’s ring­git cur­rency suf­fered one of its worst one-day declines on Fri­day, fall­ing to a fresh 17-year low in a pro­tracted slide blamed on con­cerns over low oil prices and po­lit­i­cal un­cer­tainty.

The ring­git has de­clined more than 25 per­cent over the past year and it weak­ened another 1.74 per­cent to 4.0805 to the U.S. dol­lar by late af­ter­noon trad­ing on Fri­day.

It had lost nearly three per­cent of its value ear­lier in the day — its big­gest drops in al­most 20 years — af­ter oil prices tum­bled to fresh six-year lows.

Malaysia is an oil ex­porter and there is ris­ing con­cern that slump­ing crude prices will curb eco­nomic growth.

In­vestor sen­ti­ment in Malaysia has also been hit by po­lit­i­cal tur­moil stem­ming from cor­rup­tion al­le­ga­tions in­volv­ing Prime Min­is­ter Na­jib Razak, and main­land China’s sur­prise de­val­u­a­tion of the yuan this week.

Asia’s worst-per­form­ing cur­rency over the past year, the ring­git slid through the key 4.0 bar­rier Wed­nes­day for the first time since 1998, when a fi­nan­cial cri­sis rocked Asia.

Newspapers in English

Newspapers from Taiwan

© PressReader. All rights reserved.