“I think we will see a bit more strengthening,” Amirul said in an interview with Bloomberg TV’s Haslinda Amin on the sidelines of the World Economic Forum in Davos, Switzerland on Monday. He cited analysts as saying the currency could strengthen to 4 ringgit per US dollar or even below that.

The Malaysian ringgit is currently trading at 4.055 to the greenback, having gained 11% in the past year, despite volatility surrounding US tariffs.

Amirul’s comments come as Malaysia’s stock index is trading near a seven-year high and the country’s economic growth has surpassed expectations in recent quarters, defying the impact of higher US tariffs.

Khazanah, which manages about US$35 billion in assets, is also “open to speaking to anyone” on rare earth projects in Malaysia, Amirul said, after it was chosen by Prime Minister Anwar Ibrahim to spearhead the development of the downstream industry in collaboration with global partners.

However, the process of starting such projects will take time, as their environmental impact still needs to be studied, Amirul added.

Malaysia is home to the largest rare earth processing plant outside of China – operated by Australia’s Lynas Rare Earths Ltd.