The ringgit extended its uptrend to close on a firm note against the US dollar today, lifted by continuous buying momentum following the Prime Minister’s announcement of proactive measures to boost the economy.

At 5pm, the ringgit was quoted at 4.3060/3140 against the US dollar from 4.3150/3200 on Friday

A dealer said the announcement sparked new positive sentiment in the market and revived investors’ confidence in the country’s currency and economy towards achieving its growth target.

Earlier, Prime Minister Najib Abdul Razak said Malaysia is not the only country whose currency has depreciated, pointing out that other nations that are rich in natural resources are also facing the same situation.

Factors contributing to the ringgit’s fall include the strengthening US dollar, the drops in commodity prices, and the moderation of China’s economy, he said.

Najib added that the depreciation of the ringgit is not expected to bring a major impact on the federal government’s total debt, 59 percent of which is ringgit-denominated with most financed from domestic sources.

Meanwhile, the ringgit was traded mixed against other major currencies.

It fell against the Singapore dollar to 3.0591/0670 from Friday’s 3.0510/0569, weakened against the yen to 3.5836/5908 from 3.5812/5868 and contracted against the euro to 4.8817/8912 from 4.8716/8781.

The domestic unit, however, rose against the British pound to 6.6519/6647 from 6.6576/6679 previously.

- Bernama