Kuala Lumpur, 23 January 2026 — The Malaysian ringgit opened near a five-year high against the US dollar on Friday following Bank Negara Malaysia’s (BNM) decision to maintain its Overnight Policy Rate (OPR) at 2.75%.
The central bank’s choice to keep interest rates steady reinforced market expectations of monetary policy stability, helping boost confidence in the local currency. The ringgit’s strength comes amid persistent economic resilience, a supportive external environment and improved investor sentiment, which have collectively underpinned demand for Malaysian assets.
Analysts said the combination of a steady rate outlook and relatively strong economic data helped the ringgit outperform some regional peers in early Asian trading, with the currency trading close to levels last seen around 2021. Traders also noted that expectations of sustained capital inflows into Malaysia’s financial and equity markets lent further support to the ringgit’s performance.
However, the ringgit’s near-five-year high was tempered by broader currency market dynamics, including fluctuations in the US dollar and risk sentiment tied to global macroeconomic developments. Market watchers continue to monitor inflation trends, foreign investment flows and external trade figures that could influence short-term currency movements.
