Foreign Funds Inflow A Positive Sign Of Strengthening Ringgit - Lim

The recent massive inflow of foreign funds into the local market is a positive sign to investors of the strengthening ringgit and the local economy, Deputy Finance Minister Lim Hui Ying said.

She said the ringgit, considered undervalued for a relatively long period, saw rising investor interest.

"The ringgit recorded its biggest daily increases in nine years (against the US dollar) and reached its highest level since April 2023, supported by an expected massive influx of foreign funds into the local market," Lim said.

"This means the undervalued ringgit has the potential to rise further, especially given the expectation that Bank Negara Malaysia will keep the overnight policy rate (OPR) status quo while the United States Federal Reserve is expected to reduce interest rates as early as September," she said at the 2024 National Public Sector Accountants Conference (NAPSAC).

President of the Association of Public Sector Accountants (PSA) Malaysia A yub Zaidin also attended the event.

He told reporters that PSA Malaysia will use all existing platforms to help explain, starting next week, the mechanism used to calculate civil service salary adjustments.

This includes organising face-to-face and online sessions to ensure that all levels of the civil service understand the Finance Ministry guidelines, issued via the Accountant General's Department and the Public Service Department (JPA).

"We are committed to assisting and to facilitating information related to Treasury circulars or related services by calling department representatives to play their respective roles in disseminating this information," he said.

Earlier, the media reported that Public Service Deputy Director-General (Operations) Datuk Mohd Shaiful Ibrahim said civil servants can check and calculate the new salary rates starting next week under the Public Service Remuneration System.