Asia's Best Currency May Weaken More Against Singapore Dollar

Yaw Poh Ling sends money to her parents in Malaysia every month. She checks the exchange rate before making a transfer because the Singapore dollar and Malaysian ringgit have been changing a lot.

Ling always checks the exchange rate on her bank app before sending money.

Analysts think the ringgit will weaken more against the Singapore dollar in the coming months.

Here are different Malaysian ringgit banknotes.

The ringgit was Asia's best-performing currency in 2025. It has weakened a little against the Singapore dollar this year after getting stronger in 2025.

The ringgit also fell against the US dollar. It reached its weakest point since November 2025 despite many foreign investors buying Malaysian bonds.

Malaysia's central bank will try to support the ringgit. It wants companies to bring back and change their foreign earnings into the local currency.

The bank says the ringgit is weak because of things happening outside Malaysia, not because of Malaysia's economy. Investors are worried about higher US interest rates.

Foreign investors are waiting to see what happens in Malaysia's state elections before investing.

The central bank's new measures may help the ringgit a little, but they are unlikely to make it strong again soon.

The ringgit is expected to weaken to around 3.2 against the Singapore dollar by the end of 2026.

If the ringgit is weak, more Singaporeans might shop in Malaysia. Malaysia wants a strong ringgit to show its economy is doing well.

Expectations of higher US interest rates are making investors want US assets more. This is taking money away from countries like Malaysia.

The Singapore dollar has not weakened as much as the ringgit. The ringgit might weaken to between 3.20 and 3.25 against the Singapore dollar by the end of 2026.

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