Kuala lumpur: Structural reforms continue to underpin Malaysia’s resilience, strengthening fiscal discipline, attracting high-quality investment and expanding economic opportunities, said Bank Negara Malaysia (BNM) governor Datuk Seri Abdul Rasheed Ghaffour today. He highlighted progress in strategic areas such as energy transition, digital infrastructure, and high-value manufacturing as foundational for a more inclusive and competitive economy.

According to BERNAMA News Agency, Abdul Rasheed emphasized the importance of these reforms not only for growth but also for currency stability, particularly in an environment characterized by frequent shocks and increasing volatility. During his opening address at the MyFintech Week 2025, he noted that the ringgit, like many emerging market currencies, has been impacted by these uncertainties. However, he pointed out that there have been encouraging signs this year, with reforms generating renewed investor interest and providing support to the ringgit.

As of market closing yesterday, the domestic currency has appreciated by 5.55 percent against the US dollar and 1.8 percent against Malaysia’s major trading partners. Abdul Rasheed attributed this to Malaysia’s sound economic fundamentals and coordinated efforts to promote balanced and orderly currency flows. Consequently, the central bank has revised the economic outlook forecast to a range of between 4.0 percent and 4.8 percent this year, acknowledging heightened uncertainties in global trade.

He further noted that the economic outlook remains supported by resilient domestic demand and sustained investment in infrastructure for strategic sectors under the national development plans. Meanwhile, inflation is projected to remain moderate, with headline inflation expected to average between 1.5 percent and 2.3 percent in 2025. This revision reflects the continued easing in cost and a steady demand outlook, with domestic policy measures anticipated to have a contained impact.