KUALA LUMPUR: Prime Minister Najib Razak said today that Malaysia will not peg the ringgit currency against the US dollar, and that the government will focus on lowering the deficit.
“We have made it very clear that we will never repeat the measure (pegging ringgit to the dollar), trusting that while there may be short-term fluctuations, in the longer term the level of the ringgit will reflect the strength of the Malaysian economy,” Najib said at a conference in Kuala Lumpur.
He also said it was essential for Malaysia to keep the fiscal deficit down, and to keep government debt below a self-imposed level of 55% of gross domestic product.