Malaysian ringgit could rally 4% in H2, says Bank Negara official

Kuala Lumpur

THE ringgit may advance 4 per cent as the latest measures by Bank Negara Malaysia reduce the risks of holding the currency and the economy improves, a member of the central bank's financial markets committee said.

The currency could reach 4.1 to the dollar in the second half, said Lee Kok Kwan, who is also a director at lender CIMB Group Holdings Bhd. The fair value of the ringgit should be between 3.8 and 4.0, when benchmarked against regional and commodity currencies, said Mr Lee, who accurately predicted in January that the currency will rebound from a 19-year low.