Ringgit opens higher as Budget’s fiscal discipline boosts sentiment

Economy & Business Calculating...

🇲🇾 Malay

🇨🇳 Mandarin

🇮🇳 Tamil

↩️ Show Original

Kritik
12 Oct 2026
68
SubCategory | Markets

Ringgit opens higher as Budget’s fiscal discipline boosts sentiment

By Malay Mail

KUALA LUMPUR, Oct 12 — The ringgit opened higher against the US dollar today, supported by the government’s commitment to fiscal discipline following the tabling of Budget 2027 last Friday.

At 8am, the ringgit edged up to 4.0820/0880 against the greenback from Friday’s close of 4.0830/0875.

Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the government’s commitment to fiscal discipline was reflected in its target to narrow the fiscal deficit to 3.3 per cent of gross domestic product in 2027, from an estimated 3.6 per cent this year.

He said the pragmatic approach should help preserve Malaysia’s sovereign credit rating, providing firm support for the ringgit.

However, he said external conditions remained uncertain, particularly developments in West Asia and their potential impact on global crude oil prices.

“Hence, attention will be on whether the US Federal Reserve will consider raising interest rates further this month.

“Therefore, we expect the ringgit-US dollar pair to maintain its tight-range bias today,” he told Bernama.

At the opening, the ringgit traded mostly higher against a basket of major and ASEAN currencies.

The local note strengthened against the British pound to 5.4038/4117 from 5.4063/4123 at Friday’s close and rose against the euro to 4.5735/5802 from 4.5807/5858 previously. However, it weakened against the Japanese yen to 2.5806/5846 from 2.5791/5821 on Friday.

Against ASEAN currencies, the ringgit edged up against the Singapore dollar to 3.1876/1928 from 3.1896/1934 at Friday’s close and the Thai baht to 12.1720/1957 from 12.1735/1909 previously.

The local note also ticked up against the Indonesian rupiah to 228.0/228.4 from 228.1/228.4 at Friday’s close, while remaining unchanged against the Philippine peso at 6.50/6.51. — Bernama

Source: https://www.malaymail.com/news/money/2026/10/12/ringgit-opens-higher-as-budgets-fiscal-discipline-boosts-sentiment/238736

Disclaimer

The views and opinions expressed in this article are solely those of the author and do not necessarily reflect the official stance of Kritik.com.my. As an open platform, we welcome diverse perspectives, but the accuracy and integrity of contributed content remain the responsibility of the individual writer. Readers are encouraged to critically evaluate the information presented.

AI Summary

Analyzing article content...

AI-generated summary of key points

0 Comments

No comments yet. Be the first to comment!

Court Politics Donald Trump Martial Law South Korea Selangor International Business Summit 2025 Tariff Strategy Economic Reforms Trade Diversification Supply Chain Resilience Export Promotion US Malaysia Trade Fire Gas Pipeline Water

Grow Your Business With Kritikal News

Reach a wider audience and boost your sales — advertise your product here.