“Malaysia’s positive economic prospects and structural reforms, complemented by initiatives to encourage flows, will continue to provide enduring support to the ringgit,” Bank Negara said in an emailed response to questions from Bloomberg News today.

The ringgit is the top performer across emerging markets this quarter.

The currency rose to as high as 4.1080 per dollar today, the strongest since June 2021.

The Malaysian currency has been buoyed by signs of a rebound in China, the nation’s largest trading partner, following Beijing’s stimulus package announced yesterday.

This comes on top of the half-point rate cut from the Federal Reserve last week, which narrowed the rate differential between the US and Malaysia, making ringgit assets more attractive for global funds.

Bank Negara kept rates unchanged at its September decision, with deputy governor Adnan Zaylani Zahid noting in a Bloomberg Television interview earlier this month that the benchmark will likely be held at current levels this year.