Finance Minister II Nor Mohamed Nor Yakcop and Bank Negara governor Zeti Akhtar Aziz are certainly contradicting facts when they repeatedly voice their usual assurance that there is no misalignment of our currency with regards to the other major currencies.

The finance minister II, in a news report , gave figures that revealed a drop of 11.2% in the ringgit to the sterling, 10.5% to the euro, 25.2% to the yen and a 17.1% drop to the rupiah. Yet in the same breath, he said that there was no misalignment.

How can they reconcile their statements that there is no misalignment and yet give figures that indicate a substantial drop in value of the ringgit to major currencies?

In fact, the figures provided by the minister are inaccurate. In 1998, the sterling was about RM5 to a pound. Now it is about RM7.20 to a pound. That translates into a drop of almost 29% for the ringgit - not 10.5% as given by the minister.

If a drop in value of 29% is not misalignment of our currency then perhaps the finance minister II and Bank Negara governor should give a clear definition of what is a misalignment.