KUALA LUMPUR (Feb 23): Prime Minister Datuk Seri Anwar Ibrahim said while the recent sharp weakening of the ringgit is concerning, it is crucial to make a comprehensive assessment of the situation.
Speaking to the media on the sidelines of the Tun Razak Exchange inauguration ceremony on Friday, Anwar said that the government has assigned the central bank to closely monitor the performance of the ringgit.
He emphasized that the recent depreciation of the ringgit is not comparable to the economic crisis that hit Malaysia in 1998 when various economic indicators were also in decline.
"They always compare it to 1998, but in 1998, the ringgit was down, inflation was up, unemployment was up and there was no investment," he said.
WATCH: Ringgit situation not comparable to 1998, says PM
In comparison, Anwar reiterated that Malaysia recorded the highest-ever investment in the country last year, totaling RM329.5 billion, which is 23% higher than in 2022.
Additionally, he said that the country's inflation is moderate, the unemployment rate has improved, and the country's growth is still sustainable compared with neighboring countries.
"I think we should look at the comprehensive view and the country's capacity for growth. To me, what is most important is that we are ensuring the investment figures," he added.
The ringgit reached its 26-year low of 4.800 against the US dollar on Tuesday, a range last seen in 1998 at the peak of the Asian financial crisis when it touched a record low of 4.885 against the greenback on Jan 7 that year.
At 9am on Friday, the ringgit had eased to 4.7745/7800 versus the US dollar.
Meanwhile, when asked about the recent resignations of three Armed Forces Fund Board (LTAT) senior officials, Anwar said that the Defence Minister Datuk Seri Mohamed Khaled Nordin is handling the issues and will submit a report to the cabinet soon.
Three senior officers of the LTAT have withdrawn from the establishment, starting with the resignation of LTAT Chief Executive Officer Datuk Ahmad Nazim Abd Rahman on Jan 31, followed by the resignation of its chairperson Tan Sri Raja Mohamed Affandi Raja Mohamed Noor on Feb 8.
On Feb 19, LTAT's Senior Strategic Director, Dayana Rogayah Omar, reportedly also tendered her resignation. However, there is still no official announcement from LTAT on this matter.